Spot gold continued its upward trajectory on the 23rd, briefly approaching the $4,500 per ounce threshold, reaching a historic high of $4,497.754 per ounce. As of the latest update, it traded at $4,483.684 per ounce, up nearly 1%. Meanwhile, COMEX gold rose 1.21% to $4,523.6 per ounce.
The rally followed London spot gold’s breakthrough on the 22nd, surpassing its previous record of $4,381.484 per ounce set on October 20.
Domestic gold jewelry brands saw price hikes in response. On the 23rd, Chow Sang Sang’s gold jewelry was priced at 1,403 yuan per gram, up 36 yuan from the previous day. Lao Feng Xiang rose to 1,399 yuan per gram (+34 yuan), while Lao Miao Gold climbed to 1,402 yuan per gram (+35 yuan).
Qu Rui, Senior Associate Director of Oriental Jincheng’s Research and Development Department, attributed gold’s strength to two key factors: First, weaker-than-expected U.S. November core CPI data and a four-year high in unemployment reinforced expectations of Fed monetary easing, coupled with a softer U.S. dollar. Second, the Bank of Japan’s anticipated rate hike had already been priced in, prompting funds to return to gold for medium-to-long-term allocation.
Guangfa Securities noted in a report that gold prices will continue rising steadily amid the Fed’s rate-cut cycle, with sector valuations benefiting from earnings growth. As the Fed enters a sustained easing phase post-December 2025, U.S. real interest rates and the dollar are expected to weaken further, supporting gold. By 2026, gold producers’ earnings could surge, potentially triggering a "Davis Double" rally for the sector.
Ming Ming, Chief Economist at CITIC Securities, cautioned that while macro conditions favor precious metals, prices are already elevated. Retail investors should carefully assess risks and align trades with their risk tolerance.
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