London (reuters) - gold surged to a three-week high before easing on friday, boosted by the prospect of further purchases by china, after the country revealed it had been buying. Since aside from controlling the interest rates, its also through buying more gold to get the currency back up as to say the gold rate will not hold for long this high as for now.

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In fact, those buying gold jeweller yare well aware that the melt down purity oft heir purchases could be as low as to carat ironically, fora country that is synonymous with high. I have set up an account only recently, and my activities have been limited to buying gold - for longer term (years) investment so far i have not noticed any..

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