China's Gold Demand "Faces 3 Risks" to 20% Growth
- The growing risk of a credit crunch after China's huge debt boom, which "would depress GDP and consumer spending";
- A move to positive real interest rates "would represent a more direct threat" to jewelry and gold investment demand. Bank deposit rates have now lagged Chinese inflation since 2003;
- 2013 gold jewelry demand growth was so strong – thanks to Spring 2013's Gold Crash in prices – that "a degree of consolidation this year would be no surprise."