Spurred by a sudden drop in prices, Asians in the last two weeks have gone on a gold-buying binge. The Indians, the world’s largest net importers of the yellow metal, have been snapping it up of course, and so have the Japanese, now concerned about a falling yen and rising inflation. Hong Kong residents descended on the stores, but none have been so enthusiastic in stocking up on the commodity as Chinese from the Mainland.
…As Chinese emptied the shelves in their own country, they also went south and swarmed shops in Hong Kong, sometimes in groups.
…It’s probably not a coincidence that the Chinese were the biggest buyers of gold in the last two weeks and, aside from North Korea, China has the most fragile economy in East Asia at the moment. The concern about the economy is evident throughout Chinese society.