Wednesday, April 17, 2013

Gold Buying Frenzy

Australia, China, Japan Scramble For Physical

The Australian mint is short of deliverables and Japanese and Chinese gold retailers are seeing a "frenzied" surge in demand.

The customers are not just the 'rich' or 'elderly'; in China "they tend to wear water shoes and come directly from the market...;" in Australia, "the volume of business... is way in excess of double what we did last week,...there's been people running through the gate," and Japanese individual investors doubled gold purchases yesterday at Tokuriki Honten, the country's second-largest retailer of the precious metal.

The panic selling by a weaker 'imminent inflation-based' investor base has sparked physical shortages -"there's been significant sales made as people see this as great value."