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- China's gold buying is sending prices to record highs amid economic uncertainties.
- China's consumers are hedging risks, avoiding luxury brands like Starbucks and Gucci.
- Instead of premium imported brands, they are pivoting to buying cheaper domestic brands for discretionary products.
China's buying up a lot of gold, sending prices of the precious metal to record highs.
The consumption trend reflects risk hedging and a lack of confidence in the flagging economy that has been struggling to regain momentum since lifting on-off pandemic lockdowns.