from ZeroHedge:
In November 2023, with gold trading around $1900/oz, we highlighted the beginning of a precious metal buying-binge from China, noting that the prcie for physical gold had never been more expensive at the time (while western gold prices were still below their prior record highs).
TRUTH LIVES on at https://sgtreport.tv/
ICYMI from Nov 2023, when gold was still 1900
Behind The Mysterious Explosion In Gold Prices: China’s “Massive Accumulation Of Gold”https://t.co/6Yg2HPmMwf
— zerohedge (@zerohedge) April 28, 2024
Additionally we noted the total lack of demand for so-called ‘paper gold’ via ETFs as holdigs underlying these vehicles was declining, as investors rotated from paper to physical:
“The rising interest in gold bars and coins was primarily driven by investors’ safe-haven demand, supported by global geopolitical instability and weak performance of investment products denominated in Chinese yuan.”
Source: Bloomberg
Now, a few months later, we get confirmation as The South China Morning Post reports that consumers in China bought 308.9 tonnes (10.9 million ounces) of gold in the first quarter, representing a 5.9% increase compared to the same period in 2023.
Having burned out in Chinese gold ETFs, we recetly noted that, amid a notable pick up in capital flight that the Chinese had “grabbed gold by the throat.”
Sure enough, as SCMP points out, Chinese consumers are increasing their appetite for gold, seeking to protect their assets amid a volatile stock market, a depreciating yuan and property doldrums, which analysts said would continue to boost international gold prices coupled with geopolitical uncertainties.
