Gold’s price drop leads to surge in demand for physical gold

Golden times for Perth Mint

“Gold sales from Perth Mint, which refines nearly all of the nation’s bullion, have surged after prices plunged, adding to signs that the metal’s slump to a two-year low is spurring increased demand.”

“’The volume of business that we’re putting through is way in excess of double what we did last week,’ Treasurer Nigel Moffatt said, without giving precise figures. ‘There’s been people running through the gate.’”

Gold Drop Spurs Demand From Indian Bazaar to Chinese Mall

“Shoppers in China lined up for gold this week, while in Hong Kong they rushed to buy bracelets and in India sought jewelry for weddings not set until December.”

Chinese Gold Exchange Sold Out – Begins Importing From Switzerland

“the Chinese Gold & Silver Exchange Society has essentially sold out of gold bullion, and must wait until Wednesday for shipments to arrive from Switzerland and London.”

Shortage of gold bars and coins in Dubai, says World Gold Council

“World Gold Council, which has been tracking the global gold market pattern, has found that there is a shortage for bars and coins in Dubai which is creating a supply shortage.”

“Aram Shishmanian, CEO, World Gold Council:  ‘We are already seeing shortages for bars and coins in Dubai, while premiums in Mumbai are at $26/oz and $6 in Shanghai, indicating that buyers are willing to pay more than current spot prices for the metal …Our view is that demand is strong while supply remains constrained, and that this dynamic ultimately drives the long-term price of the metal,’”

 

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