“According to multiple sources, demand for physical gold in mainland China at the retail level is so extremely strong that many people do not mind paying the reported 7% premiums above spot prices there and now there’s developing shortages of gold bullion in mainland China at the retail level. “
I was noting shortages and premiums back in 2008 in silver at around $12/oz. Within 3 years, silver hit $50/oz. by 2011.