Gold bugs rush in as low prices fuel trade

Gold volumes for the benchmark cash contract on the Shanghai Gold Exchange, China's largest spot bullion market, have climbed to a record as lower prices lured buyers.

The volume for bullion of 99.99 per cent purity exceeded 43 tonnes for the first time and topped the previous peak, reached on Friday, of 30.44 tonnes, according to exchange data.

Prices gained as much as 1.7 per cent to reach a one-week high of 290.40 yuan (HK$361) a gram.

Gold prices in Shanghai tumbled 12 per cent on April 15 and 16, tracking a slump on international bullion markets.

via Business feed http://www.scmp.com/business/commodities/article/1221052/gold-bugs-rush-low-prices-fuel-trade