Amid concerns over the global financial crisis, investors are seeking a safe haven and plow billions into gold. In Australia, according to Nick Gardner for the Daily Telegraph, “demand has now reached such unprecedented levels that the Perth Mint, Australia’s biggest wholesaler of gold coins and bars, has been forced to ration its sales.”
Perth Mint’s bullion sales rose 194 per cent in the December quarter compared with the corresponding period in 2007, while silver bullion sales were up 140 per cent.
The mint has suspended sales of all gold bars and all bullion coins – except its 1oz “Kangaroo” gold bullion coin.
“We are working three shifts a day, six days a week, and still can’t keep up with demand,” Perth Mint CEO Ed Harbuz said in a statement to the Telegraph. “I’ve never known anything like this in the precious metals market.”
“Orders of $10 million or more are not unusual. Often the orders are much larger if we are dealing with pension funds or institutional investors.”