Gold Price Surge Linked to Chinese Market Enthusiasm
–News Direct–
Source: Freepik
Gold's meteoric rise this year despite headwinds has puzzled market observers. Since February, gold prices have remained well above the $2,000 mark and even briefly hit a record high over $2,400 in mid April.
As it turns out, the rally may find its roots in China, particularly on the Shanghai Futures Exchange (SHFE), where a surge in retail investors is reshaping the global gold market.1
While gold markets in London and New York have seen increased activity, the SHFE stands out for its dramatic rise from a low base. This surge in trading volumes suggests a wave of Chinese investors propelling gold prices higher.
China's traditional interest in gold as a savings tool has been revitalized by economic uncertainty and deglobalization, reflected in...