Since 2023, the price of gold has continued to rise, once breaking through the $2,000/oz mark. Some people have cashed out at high levels, while others have invested heavily.
In fact, the topic of gold investment is enduring. Mr. Hu, who has been engaged in jewelry wholesale business in Hangzhou for more than ten years, told a special story.
There are many demolition households near the jewelry city where Mr. Hu works, and many of them are hoarding gold. The amount is not very large, but they have hoarded some.
Three years ago, when the price of gold was relatively low, a demolition household asked to buy 8 kilograms of gold at a total price of more than 3 million yuan, and paid a 30% deposit on the spot, which was 1 million yuan.
Mr. Hu prepared the goods overnight, and divided them into gold bars of different specifications, such as 100 grams, 300 grams, and 500 grams, and delivered them to the customer the next day.
In March 2019, one kilogram of gold was about 280,000 yuan, and now it has soared to 400,000 yuan. Based on this calculation, the relocated household earned about 1 million yuan.
So, is gold worth investing in right now?
Hu believes thatAgainst the backdrop of conflicts between Russia and Ukraine in recent years, European and American bank explosions and other backgrounds, the rules of buying gold in troubled times are still unbreakable. If you are not sure, you can look at the operation of the central bank.
In recent years, central banks of various countries have continued to purchase gold on a large scale, reaching 1,136 tons in 2022, setting a new high since 1950.
In 2023, the global central bank’s net purchase of gold in January will increase from the previous 31 tons to 77 tons, a month-on-month increase of 192%.
Another phenomenon worth mentioning is that,Chinese aunts who were once keen to buy gold are no longer so crazy.
More and more young people born in the 95s and 00s are starting to buy gold, and they are more rational. Basically, they are several thousand yuan, and they pursue styles. The most important thing is to wear them to look good and to please themselves, and the attributes of value preservation and appreciation are second.