China imported five times more gold from Hong Kong in May amid global and regional economic and geopolitical uncertainties, with gold traders expecting the trend to continue as prices keep rising and investors keep buying as a hedge to the falling value of the Chinese yuan.

Jasper Lo, chief executive of King International, said many mainlanders, especially “Big Mother”investors – elderly ladies who like to invest in the metal – were major buyers of gold, which has risen in price by 28 per cent this year, up 6 per cent in the last three weeks.

“The gold rally started in the beginning of this year due to the many uncertainties about US interest rate rises, the Brexit and the dispute over South China Sea sovereignty between mainland China and the Philippines. These uncertainties have seen gold become a safe haven for investors,” Lo said.

“Mainland Big Mother investors...have one more reason to invest in gold – it is a good hedge for the falling value of yuan. When many expected the yuan would continue to devaluate further this year, this led the Big Mothers to invest in gold instead,” he said.