Gold is coming back in fashion in China, according to latest reports, with the middle class queuing up to purchase the precious metal.
Evidence of the demand for gold was particularly clear when the Caishikou department store sold all its gold bars in just a matter of hours last month.
When a second set of gold bars was released, the top gold retailer in Beijing asked people to register by phone and nearly 3,000 people did.
The urban middle class is looking to cash in on the value of the precious metal and all made sure they benefited from the recent price peak for gold.
Although exporting gold is still banned, a booming home-grown market has now allowed the metal to trade relatively freely, according to the China Post.
Last year 235.35 tonnes of gold were traded on the exchange and the figure had already reached 170.04 tonnes of gold in the first half of 2004 alone.
The Bank of China, which is the main foreign exchange lender in the nation, has now announced it is expanding its programme to the whole of China, rather than just Shanghai.
Source: World Gold Council
Leave a comment