On October 18, local time, the Dow and S&P 500 hit record closing highs, and the three major stock indexes recorded gains for the sixth consecutive week, setting a record for the longest weekly winning streak since the end of 2023.
Gold and silver rose again, and spot gold and COMEX gold futures continued to hit new highs; Spot silver broke through the important resistance level of the $33 mark for the first time in 12 years, and COMEX silver futures rose as much as 6.5% on the day.
China's assets exploded, popular Chinese concept stocks generally rose, the Nasdaq China Golden Dragon Index rose 3.03%, and MINISO and Shell rose more than 8%.
Gold and silver prices soar
Spot gold and COMEX gold futures both continued to hit new highs.
In terms of gold prices, the uncertainty of the United States election, loose monetary policy and tensions in the Middle East have heightened investors' risk aversion, and international gold prices extended their rally on Friday, with the New York Stock Exchange's December gold futures rising 0.83% on the day and closing above the $2,700 per ounce mark again to $2,730.00 an ounce, setting a new all-time closing high. This week, the price of the main gold futures contract in the New York commodity trading rose by more than 2%.
According to market analysis, due to the expectation of another interest rate cut by the Federal Reserve and geopolitical uncertainty, the international gold price has hit record highs many times this year, with a cumulative increase of more than 30%, the best annual increase since 1979.
Spot silver broke through the important resistance level of $33 to hit a 12-year high. Spot silver rose 6.37% to $33.7162 an ounce, up 6.93% this week; COMEX silver futures rose 6.77% to $33.955 an ounce, up 6.9% for the week.
Max Layton, head of global commodity research at Citi, expects gold to reach US$3,000 an ounce in the next six to 12 months, boosting ETF and investment demand for gold as a store of wealth amid high economic uncertainty in United States and Europe. Layton added that silver is expected to rise strongly to $35 an ounce over the next three months.
A number of banks raised their gold prices
The amount of the starting amount of accumulated transactions
The price of gold "rose" continuously, #金价持续大涨#的话题也冲上了微博热搜.
On October 19, the price of gold jewellery in major domestic brand gold stores continued to rise sharply, exceeding 800 yuan/gram, and some reached 806 yuan/gram.
The bank's precious metals business, including gold accumulation business, was favored by investors, and many banks successively adjusted the starting amount of the accumulation fund business.
On October 16, Bank of Communications announced that from 9:30 on October 18, the starting amount of Bank of Communications' precious metal wallet and gold regular investment business accumulation plan will be adjusted from 600 yuan to 700 yuan. The accumulation plan that has been successfully set before the adjustment will continue to be executed and will not be affected. After the adjustment, the new accumulation plan needs to meet the latest threshold amount requirements of Bank of Communications.
On September 30, China Everbright Bank announced that since the morning of October 8, the minimum purchase amount of fixed investment in gold accumulation personal business has been adjusted from 600 yuan to 700 yuan, and the additional amount has remained unchanged at an integer multiple of 100 yuan. The AIP agreements signed before the adjustment will not be affected.
On September 28, the Industrial and Commercial Bank of China (ICBC) issued a notice that from October 1, the minimum investment amount (i.e., the minimum amount of accumulation) for Ruyi gold accumulation business will be raised from 550 yuan to 650 yuan, and the starting point for accumulation by grams will still be 1 gram.
On September 26, Bank of China announced that it would adjust the purchase conditions of MPF products on September 27, and the starting amount of MPF will be adjusted from 600 yuan to 650 yuan, and the additional purchase amount will remain unchanged at an integer multiple of 200 yuan. Regular investment plans that are already in implementation will not be affected.
On September 25, China Construction Bank announced that from 9:10 on September 27, the starting amount of the bank's personal gold accumulation business (including average daily accumulation and self-selected day accumulation) will be raised from 600 yuan to 700 yuan.
Shortly before that, the Agricultural Bank of China also adjusted the starting point of the bank's purchase of the bank's fixed deposit fund pass No. 2 according to the amount to float with the gold price, and when investors apply for regular investment, the fixed investment amount is greater than/equal to the purchase price of the real-time deposit fund pass No. 2, and meets the requirements of the incremental unit of the regular investment transaction (an integer multiple of 10).
In addition, a number of banks such as Industrial Bank, Zheshang Bank, and China Merchants Bank also announced in late September that they would raise the minimum purchase point for accumulation funds, with the adjusted minimum purchase amount ranging from 650 yuan to 700 yuan. It is understood that since the beginning of this year, more than 20 banks have successively raised the starting amount of gold accumulation funds, and some of them have raised the minimum investment threshold for the second time during the year.
Investors need to be cautious about risks
The increase in the "threshold" for MPF investment is closely related to the fact that the international gold price has repeatedly hit record highs. In the eyes of industry insiders, the increase in the minimum purchase amount of gold accumulation funds by banks is also a measure taken by banks to ensure the stable operation of their businesses.
Yang Haiping, a researcher at the Securities and Futures Research Institute of the Central University of Finance and Economics, said in an interview with the media that according to the "Interim Measures for the Management of Gold Accumulation Business", the minimum business unit of gold accumulation products is 1 gram, and the starting point of gold accumulation business and the price of gold is a "rising tide". Recently, due to factors such as the Federal Reserve entering the interest rate cut channel, gold prices have reached a new high, prompting commercial banks to raise the minimum purchase point of accumulated funds to meet regulatory requirements.
At a time when gold prices are rising, how should investors rationally allocate gold assets? Du Yang, a researcher at the Bank of China Research Institute, suggested that the first is to achieve diversified asset allocation, and combine gold assets with other asset management products to reduce the overall investment risk. The second is to choose the appropriate investment cycle according to your own investment objectives and risk tolerance. Third, according to their own needs and risk appetite, choose a variety of gold investment varieties such as physical gold, gold ETFs, and gold futures. Fourth, the allocation of gold assets should be checked regularly, and flexibly adjusted according to the market environment and individual needs.
Source: CCTV Finance, CCTV News, China Securities Journal
Editor-in-charge: Yi Keyan
Responsible proofreader Yang Yang
Editor-in-chief Wu Xizhi
Final review: Editorial Board Member Liu Chao