To start, he noted that the buying that took gold to the US$2,050 or US$2,100 level was largely high-quality purchases from central banks, which have been adding the yellow metal to their coffers at a strong pace. ‘Central bank buying is quality because it’s unlikely to be sold if there’s a significant price correction. It’s for the very long term — think multi-generational,’ Norman said. He added that Chinese buying also supported that move. ‘(Chinese) retail buying is strong, central bank buying is strong. Institutional buying is strong on exchange-traded funds. Added to that, China is having its Costco (NASDAQ:COST) moment in the sense that Gen Z and Millennials are buying gold — at high premiums might I add — in gold beans,’ Norman continued. All of those factors were in place earlier this year, but on March 1, when gold started to take off, something changed. ‘It was clear…
