China Approves Gold-Backed ETPs as Domestic Buyers Chase Bullion – Bloomberg 06-10-13

Salient to Investors:

China approved 2 domestic ETPs backed by gold as global holdings of the precious metal in ETPs dropped to a 2-year low.

Zhang Bingnan at the China Gold Association said Gold ETFs should boost gold demand as they make Chinese investments in the bullion much easier, and the recent dumping of gold ETPs by overseas investors may not prove to be wise.

The Shanghai Gold Exchange said in the 12 months through April 12 2013, before the rout, spot gold in China traded at an average premium of $7.22 an ounce to the global price: from mid-April through May the premium averaged $33 an ounce.

Read the full article at http://www.bloomberg.com/news/2013-06-10/china-approves-gold-backed-etps-as-domestic-buyers-chase-bullion.html

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