Hong Kong is accelerating its drive to become a global gold trading hub, in a move that supports China’s broader ambition to strengthen its influence over international bullion markets amid a shifting geopolitical landscape and record-high prices.

The escalation of conflicts between Israel and Iran has strengthened the market's demand for safe-haven assets. Silver, as a precious metal with both safe-haven and industrial attributes, has become an alternative choice for capital to seek refuge amid the backdrop of gold's trend being suppressed by the rebound of the US dollar index on June 17. At the end of May, the gold-silver ratio once broke through the historical extreme of 1:100, far exceeding the previous long-term average of 60-80, indicating that silver was severely undervalued. The demand for silver's valuation repair has supported its price. The long-term trend of the global silver supply-demand gap provides underlying support for silver prices. As the most-traded SHFE silver contract technically broke through the round-number threshold of 9,000 yuan/kg, it attracted more market capital inflows, pushing silver prices to repeatedly hit new highs. As of around 15:19 on June 18, the most-traded SHFE silver contract rose by 2.35%, closing at 9,045 yuan/kg, and refreshing its historical high since listing to 9,075 yuan/kg...

Western Gold (601069.SH) plans to invest 1.655 billion yuan to acquire 100% equity in Xinjiang Meisheng Mining Co., Ltd. (hereinafter referred to as "Xinjiang Meisheng"), a subsidiary of its controlling shareholder. Upon completion of the transaction, the company will increase its gold ore resources in mines by nearly 2.5 times, and the mine is expected to commence production in the second half of this year. Western Gold issued an announcement this evening, stating that the company and its controlling shareholder, Xinjiang Nonferrous Metal Industry (Group) Co., Ltd. (hereinafter referred to as "Xinjiang Nonferrous Metal"), had signed the "Cash Purchase of Assets Agreement" on May 7. Today, the two parties signed the "Supplemental Agreement (I) to the Cash Purchase of Assets Agreement" to acquire 100% equity in Xinjiang Meisheng held by Xinjiang Nonferrous Metal using its own funds and loans, with a transaction consideration of approximately 1.655 billion yuan, representing a premium of 1,421.66% compared to the book value. The company stated that Xinjiang Meisheng is currently expected to commence production in the second half of 2025. To fulfill the commitments made by Xinjiang Nonferrous Metal earlier, properly address potential horizontal competition issues, and given Western Gold's optimistic outlook on the development prospects of the mine project, both parties agreed that Western Gold would acquire 100% equity in Xinjiang Meisheng held by Xinjiang Nonferrous Metal in cash. Financial data shows that Xinjiang Meisheng achieved operating revenues of 276,700 yuan and 0 yuan in 2024 (audited) and Q1 2025 (unaudited), respectively, with net losses of 35.943 million yuan and 14.1621 million yuan. The announcement revealed that after Xinjiang Nonferrous Metal acquired 100% equity in Xinjiang Meisheng in 2021, Xinjiang Meisheng obtained ownership of the Katebaasu Gold-Copper Polymetallic Mine Project in Xinyuan County. Since the completion of the acquisition by Xinjiang Nonferrous Metal, Xinjiang Meisheng has not engaged in production or business activities, and thus has not generated any operating revenue from such activities. In terms of asset valuation, the asset-based approach was adopted for this transaction. As of December 31, 2024, the book value of Xinjiang Meisheng's net assets was 109 million yuan, with an assessed value of 1.655 billion yuan, resulting in an appreciation of 1.546 billion yuan. The appreciation primarily originated from intangible assets, with a book value of 1.397 billion yuan and an assessed value of 2.946 billion yuan, representing an appreciation rate of 110.89%. Based on the asset valuation report for this transaction, the book value of the mining rights included in the valuation scope and recorded as intangible assets was 1.165 billion yuan, involving a total of two mining rights, including the mining right for the Xinjiang Meisheng Katebaasu Gold-Copper Mine and the exploration right for the Xinjiang Xinyuan County Katebaasu Gold-Copper Polymetallic Mine. In terms of ore reserves, the Xinjiang Meisheng Katebaasu Gold-Copper Mine has proven total ore reserves of 25.67 million mt (including 78.7 mt of gold resources). Upon completion and reaching full production, the project will achieve a production scale of 4,000 mt/day, with an annual output of 1.2 million mt of ore and approximately 3.3 mt of gold metal. In addition to gold resources, there are 48,800 mt of copper metal content, 125,544.92 kg of associated silver, and 1.6624 million mt of associated sulfur element. As of the end of 2024, the resource volume of captive mines of Westgold Resources Co., Ltd. was approximately 32 mt, with reserves of about 12 mt, and annual gold production from mines was approximately 1 mt.

SMM, June 3: The flip-flopping of the US tariff policy has once again sparked market concerns over global trade uncertainties; the ongoing Russia-Ukraine conflict has fueled a surge in market risk aversion; coupled with a series of factors such as the US ISM manufacturing PMI for May falling to 48.5, marking the third consecutive month below the 50 mark {{only used when specifically referring to PMI}}, have all contributed to the recent strengthening of precious metals. During the Dragon Boat Festival holiday, COMEX precious metals surged by 2.82%, with COMEX silver rising by 5.61%. This also drove the domestic precious metals market to strengthen on the first trading day after the Dragon Boat Festival. As of around 13:15 on June 3, COMEX gold fell by 0.3%, trading at $3,387.1 per ounce; COMEX silver fell by 0.96%, trading at $34.36 per ounce; SHFE gold rose by 1.62%, trading at 784.74 yuan/g; SHFE silver rose by 2.32%, trading at 8,413 yuan/kg; and silver T+D rose by 2.79%, trading at 8,408 yuan/kg. The precious metals equity sector also saw a significant surge, at one point leading the gains across all industries. As of around 13:14 on June 3, the precious metals sector rose by 3.7%. Among individual stocks, Western Gold surged by the daily limit, while Xiaocheng Technology, Chifeng Gold, Sichuan Gold, and Hunan Gold were among the top gainers. News Updates Domestic Pure Gold Jewelry Prices Return to the 1,000 Yuan Mark (Image sourced from Chow Tai Fook's official website) Following the notable rise in COMEX gold during the Dragon Boat Festival holiday, domestic pure gold jewelry prices also returned to the 1,000 yuan mark. According to Chow Tai Fook's official website, the quoted price for Chow Tai Fook's pure gold jewelry on June 3 was 1,020 yuan/g, up 22 yuan from the previous day's 998 yuan/g. Additionally, Laomiao Gold's pure gold jewelry was quoted at 1,019 yuan/g on June 3, while Chow Sang Sang's pure gold jewelry was quoted at 1,024 yuan/g. World Gold Council: Gold Should Be Considered a High-Quality Liquid Asset, Just Like 30-Year US Treasuries Although gold is classified as a Tier 1 asset under Basel III, it has not yet been recognized as a High-Quality Liquid Asset (HQLA). HQLA is a key classification that the World Gold Council (WGC) seeks to change. Analysts from the WGC, in their latest report, have recommended that the Basel Committee on Banking Supervision (BCBS) re-examine the classification of gold and recognize it as an HQLA, citing significant market volatility so far this year. The WGC pointed out that over the past six months, gold has once again demonstrated many of the key characteristics that an asset must possess to qualify as an HQLA. US Treasuries, particularly 10-year and 30-year bonds, are among the most recognized top-tier HQLAs. However, the WGC noted that in recent months, gold has been moving in tandem with these stable assets. Analysts stated: "Using intraday minute-by-minute data, we found that gold's average daily volatility was 0.027%. This is higher than the 0.016% volatility of 10-year U.S. Treasury bonds (OTR) but aligns with the 0.028% volatility of 30-year U.S. Treasuries (OTR)." ( FX678) Silver Price Surges Above 8,400 Amid Strong Market Caution 》Click to View Spot Prices of Precious Metals Boosted by the strong performance of silver futures, spot silver prices showed significant gains on June 3. On June 3, the average morning ex-works reference price for SMM1# silver was 8,425 yuan/kg, up 245 yuan/kg (3%) from the previous trading day. According to SMM, the premium/discount quotes for spot standard silver ingot warrants in Shanghai were 3-5 yuan/kg, but downstream buyers remained cautious, with minimal transactions at high premiums. Market activity was sluggish, with some standard silver ingot suppliers offering discounts of 25 yuan/kg against the SHFE silver 2508 contract. Large suppliers quoted premiums of 5-8 yuan/kg for silver ingots against TD warrants. Although precious metal prices surged after the Dragon Boat Festival, downstream demand showed no significant improvement, and market sentiment remained cautious, with only limited spot transactions for essential needs. Market Views Huilin Wang, SMM silver analyst, discussed the topic "Silver Supply-Demand Evolution and Price Outlook" at the 2025 SMM (6th) Silver Industry Chain Innovation Conference , hosted by SMM Information & Technology Co., Ltd., co-organized by Ningbo Haoshun Precious Metals Co., Ltd. and Quanda New Materials (Ningbo) Co., Ltd., and sponsored by Fujian Zijin Precious Metals Materials Co., Ltd., Huizhou Yi'an Precious Metals Co., Ltd., Jiangsu Jiangshan Pharmaceutical Co., Ltd., Zhengzhou Jinquan Mining & Metallurgy Equipment Co., Ltd., Hunan Shengyin New Materials Co., Ltd., Zhejiang Weida Precious Metal Powder Materials Co., Ltd., Guangxi Zhongma Zhonglianjin Cross-Border E-Commerce Co., Ltd., Suzhou Xinghan New Materials Technology Co., Ltd., Yongxing Zhongsheng Environmental Protection Technology Co., Ltd., IKOI S.p.A, Hunan Zhengming Environmental Protection Co., Ltd., Kunshan Hongfutai Environmental Protection Technology Co., Ltd., and Shandong Humon Smelting Co., Ltd. She noted: The aging population and rising global economic and political uncertainties have increased safe-haven demand, driving a downward trend in real interest rates; the PV and new energy sectors are experiencing rapid growth, with domestic demand stabilizing and export demand expected to rise; lower real interest rates may boost medium- and long-term allocations to silver assets—these bullish factors could support silver prices to fluctuate upward in the medium to long term. Michele Schneider, Chief Market Strategist at MarketGauge, stated that gold and silver prices have been consolidating, leading her to maintain a neutral outlook on both. However, if silver prices firmly break through the $34 per ounce level, she will seek to buy, as it is only a matter of time before it rises to $40. (Caijing) Yide Futures stated: During the holiday, overseas gold and silver prices mainly rose, with the Comex gold-silver price ratio pulling back significantly. US Treasuries, VIX, and the US dollar fell, while US stocks and crude oil closed higher. On the news front, Lorie Logan, the 2026 voting member and President of the Federal Reserve Bank of Dallas, stated that due to a stable labour market, inflation slightly above target, and an uncertain outlook, the US Fed is closely monitoring a range of data to determine what response measures may be needed. Austan Goolsbee, the 2025 voting member and President of the Federal Reserve Bank of Chicago, stated that after the uncertainties brought about by tariff policies dissipate, the US Fed can continue to cut interest rates. The second round of negotiations between Russia and Ukraine ended hastily, with significant differences remaining between the two sides regarding the conditions for ending the war. On the economic data front, the US May ISM Manufacturing PMI pulled back to 48.5, below the expected 49.5, marking a contraction for three consecutive months. The US April Core PCE Price Index annual rate was 2.52%, the lowest since the start of the disinflation process, with the monthly rate rebounding slightly to 0.12%, the second lowest level of the year. The nominal interest rate rebound exceeded the break-even inflation rate, and the slight rebound in the real interest rate increased pressure on gold. The short-end spread between US and German yields began to widen, strengthening support for the US dollar. On the funding front, funds allocated to gold and silver were increased simultaneously. As of June 3, SPDR holdings were 933.07 mt (+2.86 mt), and iShares holdings were 14,351.82 mt (+48.07 mt). Speculative funds in gold and silver flowed out simultaneously, with the former reducing holdings for six consecutive days. According to CME data released on May 30, total open interest in New York gold futures was 408,800 lots (-13,818 lots); total open interest in New York silver futures was 147,800 lots (-1,481 lots). The overnight leading indicator, the HUI Gold Bugs Index, continued to hit new highs, suggesting that overseas gold has the potential to challenge the all-time high of 3,500. Technically, New York gold and silver are showing a breakout momentum, with the former standing above $3,400 and the latter approaching the year's high. SDIC Futures believes: Precious metals rose during the holiday. Trump's trade policies have fluctuated, with additional tariffs imposed on steel and aluminum again. In terms of data, the US May ISM Manufacturing PMI recorded 48.5, below expectations and the lowest since November 2024. Under the shadow of the trade war, market prospects remain uncertain. Follow-up attention should be paid to the US Court of International Trade's ban on Trump's tariffs and the progress of negotiations between various parties, as precious metals will test the resistance at the previous highs. Industrial Futures analysis suggests: Since the end of May, uncertainties regarding US tariff policies have risen significantly, with repeated signals emerging on reciprocal tariffs, Sino-US trade negotiations, steel and aluminum tariffs, and automobiles. During the holiday, the Russia-Ukraine conflict intensified again. Although Russia and Ukraine held talks in Turkey on Monday, no signals of easing were released. Short-term risk aversion sentiment has intensified, leading to a significant increase in overseas market gold prices. Overall, reviewing the trend of gold prices in May, fluctuations in market risk aversion sentiment had a significant impact on gold prices, which were prone to repeated fluctuations due to multiple factors, with gold prices fluctuating upward! The gold-silver ratio is relatively high, and silver prices generally follow gold price fluctuations. Goldman Sachs suggests that gold and oil can serve as tools to hedge against inflation in long-term investment portfolios, stating that amid concerns about the credibility of US institutions and the ability of crude oil to withstand supply shocks, gold is attractive as a safe haven. Analysts such as Daan Struyven recommend a higher-than-usual allocation to gold and a lower-than-usual allocation to oil (though still positive), stating that commodities are a "key" hedge against inflationary shocks, which tend to harm bond and equity portfolios. Citi has raised its 0-3 month target price for gold to $3,500 per ounce, expecting gold prices to consolidate between $3,100 and $3,500 per ounce. Recommended readings: 》SMM: Industrial demand and ETF investment demand, among others, may support medium and long-term fluctuations and upward trends in silver prices [SMM Silver Conference] 》Analysis of Silver and Gold Price Trends from a Trader's Perspective [SMM Silver Conference] 》Has the Gold Bull Market Just Begun? Analysts Say Historical Experience Suggests Prices Could Reach $4,500

In 2024, the performance of publicly listed firms in China's gold industry chain was characterized by robust growth in the upstream sector and a decline in the downstream sector. Benefiting from the sustained and significant increase in gold prices, the performance of gold mine-related publicly listed firms in the upstream sector of the gold industry chain surged in 2024. However, as gold prices continued to rise, consumer demand for gold jewelry was impacted, leading to a general decline in the performance of publicly listed firms in the downstream gold jewelry sector. Futures Daily reporters reviewed the annual reports of nine gold mine-related publicly listed firms and found that the performance of these firms surged across the board in 2024. Among them, Shandong Gold, the industry leader, achieved operating revenue of 82.518 billion yuan in 2024, up 39.21% YoY, and net profit attributable to shareholders of the publicly listed firm of 2.952 billion yuan, up 26.80% YoY. Chifeng Gold recorded the largest increase in net profit in 2024, up 119.46% YoY, and achieved operating revenue of 9.026 billion yuan, up 24.99% YoY. Both Western Gold and Xiaocheng Technology turned losses into profits in 2024. The significant growth in the performance of gold mine-related publicly listed firms in 2024 was attributed to the sharp increase in gold prices on the one hand, and the increase in the firms' gold production and sales on the other hand. Shandong Humon Smelting stated in its annual report that in 2024, the company achieved operating revenue of 75.801 billion yuan, up 15.59% from the same period last year, due to the increase in sales revenue from its main product, gold. Shandong Gold stated in its annual report that the main reason for the increase in the company's operating revenue in 2024 was the increase in the sales volume and selling price of both self-produced and externally purchased gold in the current period. Reporters found through reviewing annual reports that the gold production of many gold mine-related publicly listed firms increased in 2024. For example, Shandong Gold produced 46.17 mt of gold from its mines in 2024, up 4.39 mt or 10.51% YoY. Shandong Gold International achieved gold production of 8.04 mt in 2024, up 14.69% YoY. Chifeng Gold achieved gold production of 15.16 mt in 2024, up 5.60% YoY. While upstream enterprises in the gold industry chain were quietly reaping profits, publicly listed firms in the downstream gold jewelry sector, whose main business involves gold jewelry sales, were struggling, with a significant decline in performance. Lao Feng Xiang, a leading enterprise in the gold jewelry sector, disclosed its 2024 annual report recently, showing that the company achieved operating revenue of 56.793 billion yuan in 2024, down 20.50% YoY, and net profit attributable to shareholders of the publicly listed firm of 1.95 billion yuan, down 11.95% YoY. Lao Feng Xiang stated in its annual report that in 2024, the world economy lacked growth momentum, domestic effective demand was insufficient, and consumer spending was sluggish. Coupled with the sustained increase in gold prices, this led to weak consumption in the gold jewelry sector. Another leading publicly listed firm in the gold jewelry sector, China National Gold Group Corporation, also experienced a decline in net profit in 2024.Data shows that China National Gold Group Corporation achieved operating revenue of 60.464 billion yuan in 2024, up 7.27% YoY. Net profit attributable to shareholders of publicly listed firms was 818 million yuan, down 15.93% YoY. In its 2024 annual report, Chow Tai Seng, a publicly listed firm in the gold and jewelry sector, stated that during the reporting period, the uncertainty of the external economic environment increased significantly, and gold prices rose rapidly, further dampening consumers' enthusiasm for purchases and putting considerable pressure on the jewelry consumption market. In 2024, the company achieved cumulative operating revenue of 13.891 billion yuan, down 14.73% YoY. Among this, revenue from gold product sales was 7.717 billion yuan, down 24.34% YoY. In addition to the aforementioned companies, Mingr Jewelry, Darry Ring, and other companies in the gold and jewelry industry also reported a decline in net profit YoY in 2024. As gold prices continue to climb, significant changes have occurred in the gold industry. On the upstream smelting side, major gold mine publicly listed firms have all reported plans to increase production or expand capacity. However, in the downstream consumption sector, demand for gold jewelry has been suppressed. In Q1 2025, gold jewelry consumption decreased by 26.85% YoY, with some consumer demand shifting towards investment demand. This year, the total open interest in gold ETFs has increased significantly. "Currently, amidst the backdrop of increasing uncertainty in the global political and economic landscape, gold demand is expected to continue to maintain a robust trend," Shandong Gold Group pointed out in its 2024 annual report. Firstly, from an economic performance perspective, the new US administration's tariff hikes on foreign countries will trigger a new round of trade frictions, causing harm to the global economy. Meanwhile, the rising debt levels in the US may undermine the credit of the US dollar. Secondly, from a monetary policy perspective, tariff hikes on foreign countries may have a certain impact on the US economy while driving inflation to rebound. Therefore, it is expected that the US Fed will still cut interest rates, but the pace may slow down. Finally, from a geopolitical risk perspective, the "America First" policies planned by the US government will exacerbate tensions between major powers, and the global geopolitical situation may become more complex. It is expected that gold's role as a store of value and its hedging value in global asset allocation will further increase, and the gold industry will face better development opportunities. In its 2024 annual report, Western Gold pointed out that the structure of the future gold market will change. On the one hand, consumers' increasing preferences and requirements for the style, quality, and price of gold jewelry may subject the gold jewelry market to greater competitive pressure. This will prompt gold jewelry enterprises to increase product innovation and market expansion efforts to adapt to changes in market demand. On the other hand, the gold investment market will become more diversified and specialized. Sichuan Gold stated in its annual report that due to the interplay between international geopolitical turmoil and expectations for US Fed interest rate cuts, gold's status as a safe-haven asset has gradually become prominent, and it is expected that gold prices will fluctuate upward. The company will continue to monitor domestic and overseas macroeconomic conditions and political environments, enhance its comprehensive research and judgment capabilities on gold price trends, and improve the efficiency of spot price settlement. Through measures such as in-depth promotion of refined management and comprehensive budget management, the company aims to reduce unit production costs. Wu Zijie, a precious metals researcher at Jinrui Futures, holds a bullish view on medium and long-term gold prices. He believes that the core driving force behind the rise in gold prices is the growth in demand for physical gold, represented by continuous central bank gold purchases and ETF inflows. The underlying factors are the trend of de-dollarization, expectations for US Fed interest rate cuts, US debt issues, and geopolitical conflict risks. Although gold prices are currently at historical highs, investors can still consider gradually building positions in batches during pullbacks, adhering to the principle of "buying small amounts during minor declines and larger amounts during major declines," to avoid rushing to buy amid continuous price rise at high levels. For enterprises in related industries, they should conduct systematic hedging through financial instruments such as futures and options, establish a tiered risk management mechanism, control risk exposures in the process of raw material procurement and product sales, stabilize corporate operating profits, and avoid being impacted by sharp price fluctuations. Gu Jianan, Assistant General Manager of Haitong Futures Research Institute, believes that gold is still in a long-term upward trend, and its current price has not yet peaked. In the short term, considering Trump's signals for trade negotiations, global market risk appetite is expected to continue to rebound, and the upward trend in gold prices will temporarily come to an end. From a long-term perspective, Trump's tariff policies will further promote "de-globalization," and the strengthening of trade barriers will drive down the demand for US dollar settlements. As a non-sovereign credit anchor, gold's monetary attributes will drive its price to continue rising. "For investors, it is recommended to firmly adhere to the strategy of long-term gold holding and reduce speculative and leveraged operations. If there is a need to increase positions, it is advisable to wait for entry opportunities after pullbacks and avoid chasing highs. Related enterprises can utilize financial derivatives such as futures and options for hedging to lock in costs or profits. At the same time, optimize inventory management and adjust inventory levels based on market forecasts," said Gu Jianan. It is worth mentioning that many listed gold companies disclosed their use of financial derivatives for hedging in their 2024 annual reports. Shandong Gold stated in its 2024 annual report that during the reporting period, the company and its subsidiaries primarily conducted hedging businesses related to their main operations to ensure stable operating performance.The financial derivative contracts used by the company and its subsidiaries for hedging purposes are linked to products and foreign exchange related to the company's production and operation, thereby reducing the risk of price fluctuations, achieving the expected risk management objectives, and further enhancing the company's production and operation capabilities as well as its risk resistance. In its 2024 annual report, Western Gold stated that to ensure stable operating performance, the company primarily engages in hedging activities related to its main business. The gains and losses on the derivatives side and the spot side can be hedged against each other, reducing the risk of price fluctuations and further enhancing the company's production and operation capabilities as well as its risk resistance. During the reporting period, the combined profits from derivative transactions and changes in spot value amounted to 34.1965 million yuan.

SMM April 10 News: Concerns over US tariffs potentially fueling inflation and hindering global economic growth have highlighted gold's value as a "safe haven." According to the CME FedWatch Tool, the market currently sees a 72% chance of a US Fed interest rate cut in June. Rising expectations for a Fed rate cut, coupled with the US dollar's credit overextension, frequent geopolitical conflicts, and China's central bank increasing its gold reserves for five consecutive months, have all driven the rise in precious metals. As of around 13:15 on April 10, COMEX gold rose 2.25% to $3,148.7 per ounce; COMEX silver rose 2.42% to $31.15 per ounce; SHFE gold rose 3.11% to 743.74 yuan per gram; SHFE silver rose 3.09% to 7,947 yuan per kilogram; silver T+D rose 3.66% to 7,961 yuan per kilogram. Alongside the surge in precious metal futures, the precious metals stock sector also saw a significant rally. As of around 13:16 on April 10, the precious metals sector led all industries with a 7.29% gain. Among individual stocks, Sichuan Gold hit the daily limit, while Xiaocheng Technology, Chifeng Gold, and Western Gold all rose over 9%. Shandong Humon Smelting, Shandong Gold, and Zhongjin Gold were among the top gainers. Spot silver showed a notable rise today. Click to view spot prices of precious metals. Order to view SMM's historical spot price trends for metals. With the sharp rise in precious metal futures, spot silver also rebounded from its previous decline. On April 10, the average ex-factory reference price for SMM1# silver in the morning was 7,907 yuan per kilogram, up 245 yuan per kilogram from the previous trading day, a 3.2% increase. The Shanghai Gold Exchange issued a notice on April 10 titled "Notice on Continuing to Strengthen Recent Market Risk Control." The notice stated that the recent complex and volatile international situation has led to significant fluctuations in precious metal prices and increased market risks. Members are urged to enhance risk awareness, continue to refine risk contingency plans, and maintain stable market operations. Investors are also reminded to take risk prevention measures, manage positions rationally, and invest prudently. Due to the continued high volatility in precious metal prices, the Shanghai Gold Exchange had previously issued similar notices on April 3 and March 18. China Everbright Bank recently announced that, in accordance with relevant regulations for gold accumulation business and in response to market changes, it will adjust the minimum investment amount for individual gold accumulation business starting from 9:30 on April 8, 2025. Additionally, several banks, including Bank of China, China Merchants Bank, and Bank of Ningbo, have raised the minimum investment amounts for gold accumulation. On April 7, the Shanghai Gold Exchange issued a notice titled "Notice on Adjusting Margin Ratios and Price Limits for Certain Contracts." The notice stated that, in light of recent significant fluctuations in gold and silver prices, the exchange has adjusted the margin ratios and price limits for gold deferred and silver deferred contracts in accordance with the "Shanghai Gold Exchange Risk Control Management Measures." The adjustments will take effect from the close of trading on April 8, 2025 (Tuesday), with the margin ratio for Ag (T+D) contracts increasing from 13% to 15% and the price limit increasing from 12% to 14% from the next trading day. China Securities' research report noted that asset allocation models indicate an improvement in gold signals. Based on a multi-asset allocation model that identifies macro states through growth/inflation factors, liquidity, and gold factors, the model constructs a dynamic risk budget portfolio. As of the end of March, medium- and long-term investment recommendations remain stable, with gold signals entering a "high" state, indicating a positive outlook and an increase in allocation weight. SDIC Futures pointed out that precious metals surged overnight. The trade war remains the main theme in recent market trading, with the decline in the US dollar and US Treasury bonds reflecting gold's safe-haven value amid US credit risks. After President Trump announced a 90-day suspension of reciprocal tariff policies for most economies, market volatility increased again. The minutes of the Fed's March meeting showed that policymakers generally believe the economy faces risks of rising inflation and slowing growth. Today's focus is on US CPI data. Amid the US dollar credit crisis and a weakening economic outlook, the gold-silver ratio may remain high. Minmetals Futures stated that the reversal in US reciprocal tariff policies, along with the Fed's hawkish monetary policy stance, poses a risk of a pullback in precious metal prices. Early this morning, President Trump announced a 90-day suspension of tariff policies for most economies. US Commerce Secretary Lutnick stated that Trump will lead tariff negotiations. Following Trump's announcement, overseas stock markets, bonds, and commodity prices rebounded. Earlier, a $39 billion 10-year US Treasury auction performed moderately, with a bid-to-cover ratio of 2.67, higher than the previous 2.59, easing concerns about US Treasury liquidity. Fed officials maintained a hawkish stance, with Minneapolis Fed President Kashkari stating that the threshold for a rate cut remains high and the Fed prefers not to intervene in the market. Market expectations for a rate cut at the May meeting have been lowered to 23.87%. The 10-2 US Treasury yield spread fell from 0.57% yesterday to 0.41%, releasing some overseas risk sentiment. Against the backdrop of hawkish Fed voting members and easing risk sentiment, precious metal prices, especially gold, face a risk of a pullback. Goldman Sachs analysts view the drop in gold prices as a buying opportunity and maintain their year-end forecast for gold to break through $3,300 per ounce. Macroeconomic risks, low investor positions, government reciprocal tariffs, emerging market central bank demand, and gold ETF inflows will support gold prices. HSBC raised its 2025 gold price forecast to $3,015 per ounce, up from $2,687 per ounce, and its 2026 forecast to $2,915 per ounce, up from $2,615 per ounce. For more information on macro and fundamental factors affecting precious metal markets, join the 2025 SMM (6th) Silver Industry Chain Innovation Conference.