The financial market has been very lively recently, especially the sudden plunge of gold prices. This news is even more trembling than the iced watermelon in summer!
On June 6, the global financial market was like a lake that was thrown into a stone, and it instantly caused considerable ripples. The market suddenly had no hope for the Fed's interest rate cut this year. The US dollar index and US bond yields rose up like a rocket. Gold, a traditional safe-haven boss, naturally couldn't withstand the pressure and began to fall.
The next day, this trend spread to China. The price of gold jewelry in many gold shops suddenly fell below the thousand yuan mark. The price of Zhou Sai Fu's gold jewelry dropped to 985 yuan per gram, 15 yuan less than the previous day; the price of Lao Miao's gold jewelry was 999 yuan per gram, 9 yuan less; the price of Zhou Shengsheng was 1,003 yuan per gram, 13 yuan less; even Zhou Tai Fu had reached 1,005 yuan per gram, 15 yuan less. The changes in these numbers have made many people feel excited. Those who originally planned to buy gold are probably hesitating whether the price will continue to fall.
The trend of gold prices this year is like riding a roller coaster, up and down, making people dazzled. Many ordinary consumers are facing large amounts of gold investments that cost tens of thousands of yuan, and are beginning to think of other ways, such as buying gold-themed funds. However, some gold-themed funds have issued 11 high premium reminders in succession, which makes people wonder what mystery is hidden behind this.
From a fundamental perspective, despite the sharp short-term volatility, the market's demand for safe-haven gold still exists. The market has not yet fully understood the true situation of the US economy. Even if the trade tariff tensions ease, it is not easy to truly stabilize and reduce commodity prices. The subsequent inflationary pressure is like an invisible mountain, which will gradually emerge, and the US economy may still find it difficult to get rid of the long-term stagflation problem.
For ordinary investors, you have to keep your eyes open when choosing a gold investment strategy. Although I feel at ease when buying physical gold, the additional costs such as storage and insurance may not be cost-effective. Gold ETFs or gold-themed funds are easy to operate, but the premium situation must be kept in mind. The fixed investment method is a good choice. If you buy in batches, the short-term fluctuations in the market will have a much smaller impact on the actual cost.
Investing in gold is more about adding insurance to assets, and for preserving and increasing value, rather than getting rich overnight. Stay calm, do more rational analysis, and find your own safe way in the turbulent market. Although gold prices rise and fall quickly, investment must be done by calm thinking and don’t let momentary impulses affect long-term plans. This "roller coaster" game in the financial market continues, let's watch and cherish it!
