Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

China Gold Imports Drop 10% In June 2012

|Includes: SPDR Gold Trust ETF (GLD), TLT

China Gold Imports have dropped another 10% from the previous month.

Although we see decreasing demand from China for gold, China says it will keep buying more this year as the precious metals market is set to grow throughout the second half of this year. Analysts say physical demand is still strong.

Chart 1: China gold imports from Hong Kong

Instead, China is buying more and more U.S. treasuries.

Chart 2: China U.S. treasury holdings

Disclosure: I am long PHYS.