Saturday, September 10, 2011

Investment-savvy Indians shift gold buying to bars from bangles


By Jo Winterbottom

NEW DELHI, Sept 8 (Reuters) - In a nation whose love for gold is legendary, financial adviser Biju Daniel is one of scores of Indians who are rethinking how they amass riches through the precious metal.
Daniel's wife owns at least a kilogram of jewellery and he sports a gold watch. But he is also shrewd enough to realise that the world's biggest gold consumers are falling out of love with wearing their wealth, preferring to stock up on coins, bars and bullion-based investment funds as they look for returns safe from the ravages of inflation and the dictates of fashion.
Demand for gold bars, coins and other pure investments in India, Asia's third largest economy, soared 83 percent in 2010 from the year earlier to 349 tonnes, according to GFMS, a precious metals consultancy that is part of Thomson Reuters.    LINK...
Think about it folks, two of the largest, most populated countries in the world, with the longest histroy are buying gold coins and bars. Together China and India are absorbing our entire manufacturing and service based industries. What will that leave us?   BK