Recently, the fluctuation of gold prices has been affecting the market's nerves. The unit price of domestic gold and jewelry brands has repeatedly broken through the 800 yuan mark, fluctuating and currently still operating at a high level. Since the beginning of this year, the price of gold has risen strongly, constantly breaking historical highs. What impact does the rise in gold prices have on the market? What is the trend of gold jewelry consumption? On November 23rd, in the golden store area of a shopping mall in Chaoyang District, Beijing, there were many consumers who inquired about the price, selected styles, and learned about promotional activities, as the gold price repeatedly hit new highs. I heard that the price of gold has dropped slightly recently. Let's take a look at my favorite styles I am also concerned about the changes in gold prices, and as the end of the year approaches, I want to buy some jewelry for my family to see if the timing is right. "Two consumers were discussing at a gold counter. The overall price of gold has risen significantly, and some consumers who have visited the store several times still feel that it is a bit expensive. Of course, there are also those who take action when they see it right The counter staff said. The international gold price has been fluctuating and rising this year, hitting historical highs multiple times. On October 30th, the gold futures price on the New York Mercantile Exchange (COMEX) reached an intraday high of over $2800 per ounce, closing at $2799.1 per ounce, once again breaking historical records. After entering November, international gold prices fluctuated. As of the close on November 22nd, COMEX gold was trading at $2718.2 per ounce. In the first three quarters, geopolitical conflicts continued, global economic recovery was weak, and the safe haven and value preservation function of gold was once again emphasized. Gold prices continued to rise strongly, constantly breaking historical highs, "said the relevant person in charge of the China Gold Association. In the domestic gold market, the closing price of Au9999 gold on the Shanghai Gold Exchange at the end of September was 595.25 yuan/gram, an increase of 23.80% from the opening price of 480.80 yuan/gram at the beginning of the year; The weighted average price for the first three quarters was 529.14 yuan/gram, an increase of 19.78% compared to the same period last year when it was 441.76 yuan/gram. The rise in gold prices has driven the prices of domestic gold jewelry brands to continue to rise. At the end of October, they once broke through the 800 yuan per gram mark, and the retail prices of many brands' full gold jewelry exceeded 820 yuan per gram. Subsequently, the price of gold jewelry briefly declined and experienced fluctuations. On November 15th, major domestic brand gold stores such as Laomiao Gold, Chow Tai Fook, Chow Sang Sang, Luk Fook Jewelry, Xie Ruilin, and Chow Liu Fook gold prices were around 775 yuan/gram; By November 24th, the gold prices of major domestic brand gold shops have returned to over 800 yuan/gram. Despite the high volatility of gold prices, there are not many consumers exploring and inquiring about the market at gold jewelry counters. I mainly came to look at the styles and have a number in mind. I will buy them when the gold price drops, "said Lu Xiaozhou, a consumer who is looking for gold bracelets and clover bracelets. He will continue to monitor the trend of gold prices and wait for the right time to purchase. Some people believe that the rise in gold prices will lead to better returns for the gold jewelry industry. However, the current market feedback is not entirely accurate. Data shows that since the beginning of this year, multiple gold jewelry brands have experienced a significant decline in same store sales revenue, and some companies have closed stores with poor sales. Xiaoke heavy gold jewelry is more popular. China is a major consumer of gold jewelry. But currently, the high gold price directly affects the consumption of gold jewelry. A staff member from a well-known jewelry brand store introduced that in the past, they could sell several solid gold bracelets in a day, but now it is rare to sell one. The acceptable jewelry range for most customers is between 2000-5000 yuan. Compared to heavy gold jewelry, 5g zodiac and co branded jewelry sell better. I tend to buy small and heavy products, after all, compared to a while ago, the price is not that much different, so I won't feel too disadvantaged Liu Yujie, an office worker who is currently planning to purchase gold jewelry, said. Middle aged and elderly consumers are more sensitive to prices. In 2008, my younger sister got married and I bought a bracelet for her. I remember that the price of gold jewelry, including labor costs, was around 260 yuan, and a 30 gram gold bracelet cost about 8000 yuan. If it were now, I wouldn't be able to get 20000 yuan, "said Ms. Sun, a consumer in Shanghai. Nowadays, when buying gold jewelry, people tend to choose small accessories such as earrings and pendants, and the total price is not high. Due to the influence of international gold prices, the sales of gold products exhibit a certain degree of uncertainty Liu Yan, vice president of Yu Garden Jewelry Fashion Group, said that the increase in gold price meant that the design cost and purchase cost increased, and some consumers might delay or reduce their budget to buy gold products of small grams. In the first three quarters, the national gold consumption was 741.732 tons, a decrease of 11.18% compared to the same period in 2023. Among them, 400.038 tons of gold jewelry decreased by 27.53% year-on-year. In the first three quarters, the price of gold continued to rise, and the consumption of gold jewelry was significantly affected. The relevant person in charge of the China Gold Association analyzed that the rapid development of new e-commerce models such as live streaming sales and instant retail has driven the growth of consumption of small and medium-sized gold jewelry. Small yet beautiful "has become a key focus for many gold jewelry brands. Liu Yan introduced that Laomiao Gold has combined its own characteristics with the brand and successively launched small and heavy gold products that are novel, interesting, and more in line with the aesthetic preferences of young people, such as the "string of good luck" series of products. The younger generation is gradually becoming an important consumer force in the gold market. Our new products not only have styles that better suit the aesthetic preferences of young people, but also have increasingly resonated with their meanings. For example, the 'string of good luck' and 'wealth surplus' series are becoming new choices for consumers to enjoy themselves and give gifts, "said Liu Yan. At the same time, major gold brands have launched promotional activities one after another, hoping to "add fire" to consumers. Offline, various types of stores have set up eye-catching promotional signs, such as "80 yuan discount on gold", "60% discount on production costs", "8.8% discount on 3 items", "birthday membership combined with lucky draw gifts" and so on. The store staff will provide various full discount matching plans, apply for souvenir benefits, and even provide fine services such as knitting ropes, nail art, and hand masks for free, "rolling" a new height in marketing. Online, major gold shops are competing to launch live streaming sales. Some brands use low-priced gold jewelry priced between 99 yuan and 399 yuan, along with multiple free gifts, to attract traffic. They also promote high priced products such as gold bracelets, using a "burger style" approach to create a price "combination punch". Some second tier brands have also opened up niche live streaming tracks such as gold bar engraving and wholesale of 1 gram heavy gold beans, seeking digital "breakthroughs". Compared to long-term investments and gold jewelry, gold coins and bars have been more eye-catching in consumption since the beginning of this year. In the first three quarters, the national consumption of gold bars and coins was 282.721 tons, a year-on-year increase of 27.14%. In the third quarter, the gold price continued to fluctuate at a high level and the expectation of an upward trend increased, leading to a slight decline in physical gold consumption. However, overall, the consumption of gold bars and coins with relatively low premiums in the first three quarters can still maintain a significant increase, "analyzed the relevant person in charge of the China Gold Association. A person in charge of a gold and jewelry brand introduced that the rise in gold prices this year has also attracted many investment oriented consumers to seek opportunities for value preservation and appreciation, and even large weight investment gold bars are in short supply. Gold bars have a lower premium than gold jewelry, and I prefer to trade gold as an investment Li Yongxuan, a consumer who has been monitoring the trend of gold prices for a long time, said that he will continue to pay attention to the trend of gold prices and decide whether to invest in gold bars with a "small position". But some consumers also believe that now is not a good time to 'take action'. Mr. Zhang, born in the 1980s, has maintained the habit of buying gold bars for many years. "In the past, when the price of gold was over 400 yuan, he bought more gold bars and would go to duty-free shops to buy some when entering or leaving the country at the airport. But now that the price of gold is high, it doesn't feel cost-effective." "For ordinary investors, investing in the gold market should focus more on long-term investment." Industry insiders believe that in the long run, the correlation between the price trend of gold and other assets such as stocks is weak. Some investors will invest a certain proportion of their assets in gold, on the one hand, to play the role of gold preservation, and on the other hand, to use the volatility characteristics of gold and other assets to stabilize the returns of the entire investment portfolio. But participants entering the market should also choose investment and consumption methods that are suitable for themselves. Recently, multiple institutions have released reports expressing optimism about the gold price. Goldman Sachs and UBS believe that gold will reach new highs in the next two years. Goldman Sachs stated that gold can provide a safe haven to hedge against risks such as escalating trade tensions. UBS Group reports that in the context of high macroeconomic volatility and ongoing geopolitical risks, sustained strategic gold allocation and official sector purchases should drive up gold prices. Looking ahead to the demand trend in the Chinese market in the fourth quarter, the World Gold Council report states that the fourth quarter is the traditional peak season for weddings, and the demand for wedding jewelry is expected to increase; Combined with the replenishment of retailers before the Spring Festival holiday, there is a certain seasonal support for the demand for gold jewelry in the fourth quarter. However, the demand for gold jewelry still faces uncertainties such as high gold prices. (New Society)