Wednesday, May 22, 2013

Gold Bars in High Demand in China


Premiums for gold bars hit a record high in Asia on Wednesday as lower spot prices lured more buyers, mainly in China, the world's second biggest consumer of the precious metal, amid tight physical supplies.

Premiums for gold bars in Hong Kong touched a new all-time high of $6 an ounce over spot London prices, up from $5 last week. Singapore premiums rose to $5.

Banks in China were quoting up to $7 in premiums, two traders in Singapore said.

"China premiums remain high because of a shortage in supply of the physical metal," said a Hong Kong-based trader.    LINK...