With the Federal Reserve's statement that it may begin to reduce quantitative easing at the end of this year, international gold prices plummeted yesterday, and the price of gold jewellery in Beijing, which had been calm for more than a month, also fell again. Yesterday morning, major gold stores in Beijing lowered the price of gold jewellery one after another, by 6 yuan per gram. This is The Busiest Precious Metals Company Symposium on Long Islandthe fifth time the price of gold jewellery has been lowered this year.
However, as the U.S. stock market rebounded sharply, buying interest in gold and silver ended, and gold assets suffered a heavy setback on Tuesday. The international spot gold price failed to stabilize at US$1,900. The decline accelerated during New York time, reaching a minimum of around US$1,827, a decrease of 3.6%. . Silver fell even more. In New York, it broke through the two major barriers of $43 and $42, with the lowest hitting $41.50, a drop of more than 5%.
Xinhuanet, Chicago, May 17 (Reporter Zhu Zhu) Suppressed by negative factors such as the continued strength of the U.S. dollar and Soros’s massive sell-off of gold, the price of gold futures on the New York Mercantile Exchange plummeted on the 17th, reaching its lowest level in nearly five weeks. . The June contract, the most actively traded in the market, closed at US$1,480 per ounce, a decrease of US$10.6 or 0.7% from the previous trading day.
In addition, the US Federal Open Market Committee (FOMC) will start a two-day monetary policy meeting today, which will become a major new guideline for the precious metals market in the short term. After a series of positive data came out earlier this month, the market will focus on whether the Fed will react to it, suggesting that the US economy may not need as much monetary stimulus.
Cao Minghui specifically clarified that there is a fundamental difference between the Southern Rare and Precious Metal Exchange and the general metal futures exchange. The function of futures is investment function, price discovery, and we are spot transactions, the fundamental purpose is to promote transactions between buyers and sellers, and to serve the development of related enterprises. One of the most important differences is that our trading principles are based on contract law, while futures have special futures rules.
Silver T+D has a leverage ratio of 5 times, and the risk is relatively large. Therefore, if you are not a professional investor, I still recommend that they consider unlevered paper silver and physical silver. According to my observations of investors, it is basically the physical The Busiest Precious Metals Company Symposium on Long Islandsilver investors who make profits in the end.
Although the momentum of development is gratifying, challenges are also everywhere. The new crown pneumonia epidemic that broke out at the beginning of this year has had an extremely far-reaching impact on the global economy and financial markets. The current political and economic uncertainties have increased significantly, and financial markets have continued to fluctuate. Financial markets in different time zones and regions are highly linked, and the characteristics of cross-market, cross-industry, and cross-domain cross-contagion of financial risks have become increasingly prominent. Jiao Jinpu pointed out that in the face of new risks and challenges, no market can stand alone. London Gold, New York Gold and Gold should reach a broad consensus, establish an effective interaction mechanism, share development opportunities, and work together to meet challenges.