Chinese Gold Demand Dropping

Gold demand has been in a downtrend for six weeks in Shanghai and premiums have been sub zero since late February, which doesn’t hint at a supply shortage on the SGE.

At the same time we saw GOFO rates being negative in week 15 in western markets, which does hint at supply shortages. This situation illustrates the PBOC’s gold policy;gold is allowed to be imported but not exported.

- Source, The Silver Doctors, read more here:

http://www.silverdoctors.com/chinese-gold-demand-dropping/