PHYS - Gold's drop while other commodities gain no worry to Wells Fargo strategist

Th spot gold price has shed 12% over the past year since topping $2K/oz., even as other commodities have climbed, but Wells Fargo expects gold will resume its leadership position in the current bullish cycle, sparked by China's purchases during recent months. "Over the past three months, gold imports traveling from Hong Kong to mainland China have jumped from 38 metric tons a month to 154," Wells' head of real asset strategy John LaForge says, according to Kitco.com. "While we've seen bigger numbers in the past, it's the reversing trend that catches our eye," with Chinese gold purchases picking up for the first time in a decade. "Gold has much going for it, from negative real interest rates to quantitative easing to a new commodity bull super-cycle. All gold prices need, it seems, is a spark of interest, and we may be seeing it out of China," LaForge says. ETFs:

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Gold's drop while other commodities gain no worry to Wells Fargo strategist