Tuesday, March 20, 2012

Will China Buy All The Gold?

Selling coins worldwide, I have the opportunity to see which parts of the world are running to gold at any particular point in time.  Sometimes its America, sometimes Europe, sometimes China.  What is interesting (and somewhat disturbing) is that Americans tend to buy late in a run-up when the price is high, but the Chinese buy most when the price is lower.  They buy when the big banks, futures markets, and the Fed are putting gold on sale.

Right now, America is asleep as the worlds currencies continue their slow implosion.  However, China is buying gold with both fists.  Like a giant vacuum cleaner, sucking up every bit of gold they can get from Americans in exchange for bits of US Government paper dollars.

No comments: