by Shivom Seth:
MUMBAI (MINEWEB) -
"The rise of China's middle-class is helping support demand for gold in the country. China, the largest producer of gold, is set to become the biggest consumer of the metal in 2012, with a significant proportion of luxury purchases in China veering towards gold accessories, bought by middle-class aspirational consumers.
"By 2020, 25% of China's population is expected to be middle-class, creating great consumption demand. Diamond studded luxury items and gold watches are seeing 'blow-out like demand' from wealthy shoppers in China, who are snapping up these expensive accessories to make a fashion statement, give as business gifts or just collect.
"What also augurs well this year is that middle-class wealth is expected to spread to 600 million people in third-tier Chinese cities, with a sizeable percentage investing in gold or buying gold jewellery. ..." click through for the rest of the article.
[Focus is jewelry consumption but I also think there is an inherent built in consumption of silver coin that is in the culture from many years ago that helps drive the understanding that the precious metals are wealth.]