Central bank purchases, mainly by China have been quoted as the main reason for recent gold rally.
Gold makes out only 4.3% of china’s reserves, there is still large room for further purchases. Source: Michel A.Arouet
China copper demand surge 📈
What is China going to do with all this copper? Source: CEO Technician
Breaking News: Fitch revises outlook on china to negative
Source: Bloomberg, David Ingles
Estimated People's Bank of China (PBOC) gold holdings
Source: World Gold Council, Gainesville Coins
China and Hong Kong stocks lost nearly $5 trillion in 3 years — more than India’s market cap
Stocks in China and Hong Kong sold off a massive $4.8 trillion in market capitalization since 2021, which according to HSBC, is more than the value of the Indian stock market. Indian stocks have rallied amid broader optimism about the country’s growth. Despite a subdued global IPO market, research from EY showed Indian stock exchanges also had the most IPOs in 2023. https://lnkd.in/eFCFMe2s Source: CNBC
China's trade surplus in the first 2 months of 2024 is the biggest EVER.
Here's China's dilemma. It's caught in a deflationary debt spiral. Exports are a way out. But - at the same time - China's relations with the "developed" world are deteriorating. Source chart: Robin Brooks
With real estate bubble bursting, no access to foreign equities and bitcoin, no wonder that people are flocking to gold.
Source: Bloomberg, Michel A.Arouet
In recent years, India’s economy has continued to boom, just as China and other fast-growing countries have endured a post-pandemic slowdown.
But, the country has a long way to go to replicate China’s success, after the economic fortunes of the two diverged dramatically some 30 years ago. Indeed, as recently as 1992, the GDP per capita of the 2 countries — which share a 2,167-mile border — was roughly equivalent: today, India’s is roughly one-fifth of China’s reported $12.7k. The International Monetary Fund (IMF) predicts that India made up 15% of global growth in 2023, and, having overtaken the UK as the world’s 5th largest economy in 2022, it’s now on track for 3rd place behind the US and China by 2030. Source: Chartr
