Bullion Vaults Run Out of Space on Gold Rally
Source: Bloomberg, Chanyaporn Chanjaroen, Nicholas Larkin and Debarati Roy (9/21/11)
"Gold bought for investment accounted for 38% of total demand in 2010."
Gold rose 27% to $1,803 this year as the MSCI All-Country World Index of equities retreated 11%, led by financial stocks.
Storage companies are responding. The 112-year-old Perth Mint, which refines more than 8% of all supply and is owned by the Western Australian state government, may add a new vault within the next year, according to Treasurer Nigel Moffatt. The mint sells everything from gold coins to 400-ounce (12.4-kg.) bars.
Gold bought for investment accounted for 38% of total demand in 2010, compared with about 4% a decade before, the World Gold Council estimates. . .View Full Article