How is the price of gold going after a slight decline?

Asia has always been an important market for gold, and China's gold market is vast. Since the end of 2008, gold has embarked on a big bull market and gold prices have been climbing. In November 2008, Chow Tai Fook’s gold price was 213 yuan per gram. On October 19, 2012, today’s Chow Tai Fook gold price has reached 437 yuan per gram.

However, the gold price of 437 yuan/g is still the data after a slight decline in the price of gold in recent days. In early October, international gold and silver prices hit the highest point of the year. After setting the highest point in the year, international gold and silver fell again for several days. As a result of the impact of international gold prices, domestic gold ornaments have lowered their selling prices to varying degrees in recent ten days. Among them, Chow Tai Fook, Zhou Shengsheng, Liu Fu and other Hong Kong brand gold jewelry from 457 yuan / gram on Monday to 437 yuan / gram, a drop of 20 yuan / gram a week.

So will the price of gold continue to fall in the future?

Let us take a look at the reasons for the decline in international gold prices.

Economic crisis persists and global gold demand declines 7%

Affected by the financial crisis, gold investment has become a means of investment for many investors to avoid risks. However, the continued sluggishness of the international economy is not a good thing for investors who hoard gold. So this year, global gold demand fell by 7%. The decrease in demand, the continued rise in the price of gold will only have a price and no market.

The Asian gold market is replaced by Asia as an important region for gold sales. It is closely related to the ancient traditions of the Asia Pacific region, advocating gold and silver. However, with the introduction of the European diamond culture, the gold market for major festivals and weddings has been partially replaced by the diamond market. The Asia-Pacific region is the origin of jade, and jade has made up for the gap in some market demands.

Whether the price of gold will continue to fall in the future, Xiao Bian can only conservatively estimate that it may fall, but the decline will not be too obvious. It should be known that the second half of the year is the peak season for Chinese gold. A series of major festivals and weddings are largely concentrated in the second half of the year. The following New Year's Day continues until the New Year is a wedding season. Although diamonds and other jade can substitute for certain market demands, the status of gold in certain situations cannot be easily shaken. Xiao Bian thought that the next month to take time is the best time to buy gold jewelry, even if there is the possibility of continued decline, but can not stop the follow-up demand brought about the rise in gold prices.