Chinese housewives or “aunties” have purchased 300 tons of the yellow metal in the past three weeks amounting in nearly $16 billion. The impact of the run on physical gold in China may have a significant effect on import statistics.
The recent fall in precious metals prices has investors on edge. Peter Rose, head of mining research with Fox-Davies Capital Ltd. in London, provides a European perspective on mining and advises looking at under-appreciated jurisdictions.
Spot market prices for buying gold hovered just above $1,600 per ounce Thursday morning in London, well within their trading range of recent weeks, having risen back above that level amid ongoing speculation over quantitative easing.
As gold tests $1,300 per ounce, 12 senior gold equities that trade in New York have hit an all-time high market value of $211 billion. At the lowest point in the current gold bull market the same group of stocks was worth just $14 billion collectively.