| After last week’s surprise yuan devaluation investors everywhere were eager to buy gold as a haven. Everywhere, that is, except in China. Huaan Yifu Gold ETF, the bullion exchange-traded product with the biggest volume in China over the past month, posted a third straight weekly outflow as of Aug. 14. The withdrawal came even as global ETPs posted the first increase of assets since late June. Holdings in the Chinese fund are heading for the first monthly loss since April.
Gold prices in New York have climbed about 1 percent since Aug. 10, the day before China carried out its first major devaluation of the yuan since 1994 in a bid to promote domestic economic growth. While the currency move spurred some investors to seek shelter from volatility across equity and commodity markets, it also shored up confidence among Chinese buyers, dimming the haven appeal of precious metals in the nation...............................................Full Article: Source
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