With the recent rise in gold prices, on May 20th, the domestic jewelry gold price in China has surpassed 742 yuan per gram, setting a new record.
On May 17th (last Friday), gold and silver prices surged again, with silver prices reaching an 11-year high and gold prices rebounding to historical highs from April.
By the close of the 17th, COMEX gold rose by 1.44%, reaching $2419.8 per ounce; London gold was at $2414.500 per ounce, up 1.61%. COMEX silver surged by 6.36%, reaching $31.775 per ounce; London silver was at $31.490 per ounce, up 6.60%; with silver prices hitting a new high since 2013.
Over the weekend, many gold shops quickly raised their retail prices, with the prices of various domestic gold jewelry brands in mainland China reaching around 740 yuan per gram, many surpassing previous records. The domestic gold prices spiked significantly on the 18th.
Overnight, many domestic gold shops in China increased their retail prices by more than 10 yuan per gram, with some even rising by 12 yuan per gram, setting new records. Brands like Chow Tai Fook have raised their prices to 740 yuan per gram, while Lukfook, Chow Sang Sang, Chow Tai Fook, and Lao Miao Gold have all set new high selling prices at 739 yuan per gram.
On May 20th, the official websites of jewelry brands such as Chow Tai Fook, Lukfook, Chow Sang Sang, Chow Tai Fook, and Lao Miao Gold showed that the domestic gold jewelry prices in China have all surpassed 742 yuan per gram.
Reported by “Luzhong Morning News” on May 20th, Xiaoshen, a staff member of a gold recycling company in Hangzhou, said, “On the night of the 17th, gold surged, many customers wanted to sell gold, the phone was ringing non-stop, busy till nearly midnight.”
Xiaoshen revealed that customers who called him on the 17th were locking in on the selling price of gold. “Locking in the price means that customers have gold on hand, but cannot trade on-site at night, so he would lock in the real-time recycling price from the night of the 17th, for example, 563 yuan per gram, lock in the sell order, whether it rises or falls, the transaction is based on this price.”
Xiaoshen disclosed that on the night of the 17th, customers locked in on selling 6 kilograms of gold, “Everyone sees the soaring gold prices and becomes active again, trading was relatively quiet during the earlier period when gold prices fell.”
A senior store manager in the gold industry indicated that he had anticipated that gold prices would break through and might continue to rise. The selling price of gold at their store is 739 yuan per gram. “The high gold prices are worrying; sales are not going up.”
A senior analyst from the International Department of a state-owned bank in Zhejiang also mentioned being bullish about gold continuing to rise. However, he cautioned that individual investors should allocate their family assets reasonably, start from an investment perspective, and refrain from speculative trading. As current gold prices are relatively high, if there are changes in the external situation, a significant pullback could happen anytime.
Regarding the further rise in gold prices, many market participants are advised to make wise choices based on their needs and budget when buying gold. Simultaneously, they should also pay attention to market dynamics and policy changes in order to adjust their investment strategies in a timely manner.
The self-media outlet “Apple Brother on Finance” stated that market participants have differing views on the rise in gold and silver prices. On the one hand, investors and speculators see the value of safe-haven assets; they are willing to buy gold and silver during market turmoil, hoping for continued price increases. On the other hand, the jewelry industry and some central banks are worried about the high gold and silver prices. Jewelry manufacturers are facing pressure from rising costs, while some central banks are concerned that excessively high gold and silver prices could lead to market bubbles and economic instability.
These different positions and perspectives increase market uncertainty and make the future trends of gold and silver prices full of variables. Experts have varying views on this; some optimists believe that gold and silver prices will continue to rise, while cautious individuals warn that there is a bubble risk in the market.
Especially in the current complex and volatile global economic environment, with greater market sentiment fluctuations, investors need to remain vigilant at all times, avoid blindly following trends and being overly optimistic.