With the fluctuation and rise of international gold prices, domestic gold prices have repeatedly hit historical highs. On January 22nd, COMEX gold futures closed up 0.26% at $2766.3 per ounce, reaching a new high in nearly two months. London spot gold rose to a new high of $2758 per ounce in nearly three months. Affected by the rise in international gold prices, the main contract for Shanghai gold rose to 648.86 yuan/gram during trading, closing at 645.46 yuan/gram. This is the second time that Shanghai gold has set a new historical high since its surge on January 17th. The reporter noticed that on the 22nd, the retail price of full gold jewelry from multiple domestic gold brands has exceeded 830 yuan/gram. Among them, several gold shops such as Chow Tai Fook, Chow Tai Sang, and Chow Sang Sang all offer a price of 833 yuan/gram, Lao Feng Xiang offers a price of 831 yuan/gram, and Caibai Jewelry offers a price of 808 yuan/gram. Amid high gold prices, several gold shops have also launched new year promotions. Several gold shops have achieved discounts of "100% off" and "150% off", and some gold shops have also launched promotional activities such as "20% off labor costs" and "75% off three fixed price gold pieces". During the visit, the reporter found that compared to the previous week's booming sales, customers in the gold store on the 22nd mainly inquired about prices. A staff member of a gold shop told reporters, 'It's currently the Chinese New Year, and with the store's discounts and promotional activities, the gold price is still quite cost-effective. It may continue to rise in a while.' So, will the gold price continue to rise? The impact of the new US government on the trend of gold is quite complex Wang Youxin, a senior researcher at the Bank of China Research Institute, told reporters that on the one hand, the economic policies of the new US government, such as domestic tax cuts and increased fiscal spending, may push up inflation levels, delay the timing of the Federal Reserve's interest rate cuts, boost the US dollar index, and have a restraining effect on the trend of gold. On the other hand, its trade policies and tariff measures may trigger market concerns, leading to a rise in risk aversion and enhancing the attractiveness of gold. In terms of geopolitical risks, the new US administration's stance and actions in international affairs may exacerbate international tensions and increase the demand for safe haven gold. Recently, the global central bank's enthusiasm for purchasing gold has continued to rise, which has also boosted the price of gold. After suspending the increase of gold reserves for six consecutive months, the People's Bank of China restarted the increase of gold reserves in November 2024, and expanded the increase of gold reserves for two consecutive months. According to the official website of the People's Bank of China, China's gold reserves will be 73.29 million ounces (about 2279.58 tons) by the end of December 2024, an increase of 330000 ounces (about 10.26 tons) from the end of November 2024. In addition, the World Gold Council revealed that central banks around the world had strong gold purchases in November 2024, with a net increase of 53 tons, with the majority of buyers being emerging market central banks. In its latest report "Is Gold Expensive?", China International Capital Corporation (CICC) pointed out that due to the significant increase in gold prices in 2024 and the accumulation of positive residuals, there is a certain pressure of mean reversion, and gold may experience increased volatility in the short term. The increase in gold prices in 2025 may be lower than in the past two years. But at the same time, it is predicted that the gold center may be in the range of 3000-5000 US dollars per ounce in the next 10 years. At present, the trend of gold prices is driven by both driving and restraining factors. Overall, in the context of increasing uncertainty and rising protectionism, the safe haven and investment properties of gold will be more sought after Wang Youxin stated. (New Society)