International spot gold prices surged then pulled back, once again losing the $3,900 mark. During the Asian trading session on November 13, international spot gold prices (London spot gold) rose sharply, briefly breaking above $3,920 per ounce. However, it retreated in the afternoon and, as of press time, stood at $3,897.65 per ounce, up 0.54%. On the previous trading day, spot gold came under pressure and fell to a low near $3,852, the weakest level in more than a year. In early 2026, international spot gold prices once climbed above $5,598 per ounce before entering a correction, with losses this year approaching 10%.
Affected by the sharp drop in gold prices on the previous trading day, domestic gold jewelry prices in China continued to adjust downward on November 13. Chow Tai Fook pure gold jewelry was quoted at 1,175 yuan per gram, down 24 yuan from November 12; Chow Sang Sang pure gold jewelry was quoted at 1,173 yuan per gram, down 25 yuan from November 12; Luk Fook Jewelry pure gold jewelry was quoted at 1,173 yuan per gram, down 24 yuan from November 12; Lao Feng Xiang pure gold jewelry was quoted at 1,170 yuan per gram, down 30 yuan from November 12; and Lao Miao Gold pure gold jewelry was quoted at 1,165 yuan per gram, down 26 yuan from November 12.
Looking back at this year's price trend, in late January, the pure gold jewelry prices of mainstream brands all climbed to historic highs of 1,700 yuan per gram. Now, compared with the year's peak, the per-gram price of gold jewelry from mainstream brands has plunged by more than 500 yuan. Taking Lao Miao Gold as an example, the brand's pure gold jewelry was quoted at 1,722 yuan per gram on January 29, a drop of 557 yuan per gram compared with today.
Discussing Friday's gold price movement, Bai Suna, manager of the Precious Metals and New Energy Research Center at Guomao Futures Research Institute, told reporters that the short-term rebound was mainly due to two reasons. First, there was a technical repair after the sharp decline and short covering. Gold prices had fallen for three consecutive trading days with a relatively large cumulative decline, and after breaking below $3,900 per ounce, bargain-hunting buyers began to step in at lower levels, while some short-term short sellers took profits, driving gold prices higher during today's Asian session. Second, there was an observation-driven repair after bearish factors were largely priced in for the time being. At present, the precious metals market has already priced in December rate hike expectations fairly fully, risk sentiment in U.S. equities did not deteriorate further overnight, and the market has turned to wait for tonight's PPI data. Today, the rise in the dollar and U.S. Treasury yields paused during the Asian session, providing a window for prices to stabilize.
On the news front, according to Xinhua News Agency, U.S. President Trump said on November 12 that the United States does not need to reach an agreement with Iran and asked Vice President Vance to focus all his energy on domestic anti-corruption and crime issues. International crude oil prices rebounded in response, reigniting market concerns about inflation. FXStreet analyst Christian Borjon Valencia pointed out that rising oil prices could further push up inflation, putting greater pressure on the Federal Reserve in terms of monetary policy, which would be unfavorable for gold, which does not generate interest income. According to CME's "FedWatch Tool," the money market had previously expected an 85% probability that the Federal Reserve would raise rates by 25 basis points in December and a 15% probability of a 50 basis point hike. Just a week earlier, the market still believed the probability of a 50 basis point rate hike in December was zero, showing that rate hike expectations have clearly heated up.
Kristy Akullian, head of iShares Investment Strategy for the Americas at BlackRock, analyzed that although the short-term performance of gold and silver is relatively weak, both precious metals have solid demand support and can bring differentiated allocation value to portfolios. In 2026, gold and silver rose sharply at the beginning of the year and then gradually retreated, pressured by rising real yields, a stronger dollar, and profit-taking. However, most long-term structural bullish factors have not disappeared, and the investment value of gold and silver still deserves attention.
Commodity analysts at Societe Generale went further, saying that the sharp decline could bring more than $3 billion in buying for gold, because funds need to rebalance their exposure to broader commodity benchmarks, including the Bloomberg Commodity Index (BCOM). The bank's analysts explained that the expected buying is largely a mechanical result of this year's commodity market performance. Although gold and silver prices are under pressure, energy prices have risen sharply due to the Middle East conflict, causing severe imbalances in commodity index weights. Funds tracking these benchmarks need to reduce exposure to outperforming commodities and increase allocations to underperforming assets to bring their portfolios back to target weights. Societe Generale believes that the annual rebalancing to be carried out from January 8 to 14 next year is expected to make gold the biggest beneficiary.
Regarding the short-term trend of gold prices, Xia Yingying, head of the Precious Metals and New Energy Research Group at Nanhua Futures, said that based on weakened forward guidance from the Federal Reserve, the fact that new congressional members will not take office until early next year, repeated monetary policy expectations, and ongoing risks on the energy side, the conditions for a trend-driven rally in precious metals are not yet in place. Gold is likely to remain in low-level fluctuations within the year, and investors are advised to focus on the effectiveness of support at the previous low. "In addition, U.S. PPI data will be released tonight. With expectations of a 50 basis point rate hike in December difficult to dispel, this PPI reading may provide relevant guidance, and investors are advised to pay attention," Xia Yingying said.
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