His views on the huge SGE withdrawals situation are also potentially enlightening. He commented that the deliveries out of the SGE are not representative of total Chinese gold demand but may be as much as 233% above this due to constant recycling of gold through the SGE by the jewellery sector in particular with 1005 of SGE gold effectively being in a loop. There are of course many others who would disagree with this interpretation, but the enormous discrepancy between SGE withdrawals and perceived gold consumption, which is seen as declining by CPM, and other mainstream analysts, while SGE withdrawals are running at record levels, does suggest some kind of rationalisation of this type. Others have come up with differing reasons for the data disconnects so one doubts that everyone will agree with CPM’s interpretation however. But it does seem to be one possibility for the vast disparity in the figures.