What are some of the factors that contribute to the rise and fall of gold?

This one is complicated. As a whole, it is the relationship between supply and demand. However, the composition itself is also very complex, not only the annual production, old gold, but also the selling of speculators, the adjustment of reserves of central banks, and so on.

The demand side is also complex. And the dollar, the oil, the impact of the ** market and so on.

The reason is:

1. The demand of the masses has declined;

2. ** The trend is sluggish, and the income effect is not good;

3. Raw material products in the same period, with wide prospects;

4. The international economic form is steadily improving and developing steadily;

5. The world has a new economic form, and its status is no longer what it used to be.

That's why.

Take a proper look at **of**.

Because of its rarity and unique qualities, it is an extremely precious genus, not only to create gorgeous ornaments but also to serve as

The currency is circulating in the market.

Because the standard monetary system has an extremely important geographical location, it can not only help investors avoid risks, but also help investors to keep the bottom line of their property, which also makes it a safe haven for investors' financial management.

However, in the era of peace, the market development tends to improve, and the returns are far less than the investment benefits of other items, so investors who are rich will increase their investment in other items, and then

of**will**.

But in the turbulent market there will be no one-and-done investment, investors need to keep a clear head and look at each rationally

market, this is the secret of success.

There is a risky time that restricts economic development, and there will be changes in ****. In times of war or political instability, if economic development is not guaranteed, the currency will depreciate and fall into inflation, and at this time, **** will **. It is a store of value in times of inflation, but oil is almost a shadow of inflation.

Extended Information; Gold is an elemental form of the chemical element gold (AU), which is a soft, golden-yellow, corrosion-resistant element. Gold is one of the rarest, more precious and most highly valued metals. Internationally, it is generally measured in ounces, and in ancient China, it was "two" as the unit, which is a very important metal.

It is not only a special currency for reserves and investment, but also an important material for the jewelry industry, electronics industry, modern communications, aerospace industry and other sectors.

First of all, investment is mainly divided into physical**, **T+D, paper**, spot**, international spot** (commonly known as London gold), **, **advance payment, people's livelihood gold, these 8 more popular ** investment forms.

Physical **, through the purchase and sale of gold bars, gold ornaments, etc. Physical gold: to 1:

The form of 1, that is, how much currency to buy and how much ** to protect the value of the hand, can only buy up, can not buy down, the investment amount is large, and the procedures and costs are complicated. The difficulty lies in distinguishing the true from the fake, and the color.

**T+D: 1:5 with leverageThe transaction is divided into three time periods, two-way buying and selling, the use of matchmaking transactions, no spread, the disadvantage is that the transaction is not active, there is a premium, you can choose the bank, the advantage is that the bank provides, the disadvantage is that the bank fee is outrageously high.

Paper**: Paper** is a unique business of China, Industry and Construction Bank in China. Paper is a paper transaction, and the investor's buying and selling transaction records are only reflected in the "** passbook account" opened in advance by the individual, and does not involve the withdrawal of physical gold.

The profit model is to buy low and sell high to obtain profit from the spread. Paper is actually profiting from speculative trading, not investing in physical goods. The advantage is that the bank provides it, but the disadvantage is that it is not burned and it is too leveraged, and the fee is too high.

Spot**: The domestic handling fee standard is about 7/10,000, using 24-hour uninterrupted trading, time and ** and the international gold price market Lu Bi integration, T+0 trading mode, two-way operation can buy up and down, the leverage ratio is relatively low, is the only domestic investment variety that adopts the market maker system, can be withdrawn in kind.

1. International economic situation. Under normal circumstances, the trend of international economy is negatively correlated with the trend of the international economy, that is, when the international economic growth rate is relatively fast, **** will be the same, on the contrary, when the international economic growth rate is relatively slow, the **** will rise.

2. The trend of the US dollar. Judging from historical data, the U.S. dollar index is negatively correlated with the trend of **** most of the time, when the dollar is strong, it will weaken, on the contrary, when the dollar is weak, **** will be stronger.

3. U.S. economic performance. When the U.S. economy grows well, the U.S. dollar index will rise, and on the contrary, if the U.S. economy does not perform well, the U.S. dollar index will fall.

4. Global monetary easing. As a hedging tool, when the global currency is loose and inflation is more serious, many people are likely to buy it to resist inflation, after all, the stock is limited, when the global currency is looser and prices are more expensive, it is actually more valuable.

5. Geopolitics. The impact of geopolitics on the international **** is also relatively large, and once some wars occur, the international **** will generally be the first, such as in the Gulf War and the Iran-Iraq War, the international **** increase is relatively large.

6. Consumer demand. In addition to the investment function, there are actually many people who buy ** for consumption, such as buying **jewelry or buying** for industrial production and decorative things.

Extended Materials. Last year, ** had its best year since 2010 with an increase of about 19 due to falling real yields, while the S&P 500 grew at its fastest pace in seven years as recession fears dissipated. In 2008, when the S&P 500 was nearly 40%, and the gold price barely provided a safe haven throughout the year.

There are many factors that affect the ****, such as monetary policy, capital market trends, international politics and so on. So what is the **** rise and fall related to?

1. U.S. dollars. **There is a negative correlation with the US dollar, that is, the US dollar rises, the gold price falls, and the gold price rises. Once the hard currency dollar begins to languish, ** will relay to become a "quasi-currency", play its function of hedging value and hedging, and **** will naturally be pushed up.

2. Inflation.

Inflation represents the depreciation of the currency, and ** with the property of preserving value is naturally sought after. When inflation accelerates, the value of almost all assets shrinks, and asset owners have the need to buy ** "safe-haven", so the acceleration of inflation will also cause gold prices**.

Third, the trend.

The trend of the capital market will also affect ****. When the capital market is at a high level, once market participants are aware of the risk, they will sell, transfer the risk, and it is also a financial tool.

Fourth, the relationship between supply and demand.

The demand includes mineral gold and recycled gold, and the demand includes hedging demand, physical demand, speculative demand, etc. As a commodity, **** will also be affected by changes in supply and demand. When there is an oversupply, ******; When demand outstrips supply, ******.

In 2018, the price of gold fell first and then rose. Due to the sharp fall in the U.S. market, the price of gold has soared to more than 280 yuan. So, what factors are related to the rise and fall of ****, let's briefly introduce it below, please see below.

1. The market rises and falls

**Once the class of assets is ****, there is a hedging demand for funds. **The hedging function is recognized by everyone and is very suitable as a hedging investment. Therefore, once the market plummets, people will ****, and the price of gold will generally be **.

Since October, the U.S. market has continued, and the international gold price has increased from 260 yuan to 283 yuan (unit: RMB), which confirms the close relationship between the rise and fall of the market and the gold price.

2. United States dollars

**Generally inverse to the U.S. dollar. As soon as the dollar rose, the price of gold fell. As soon as the dollar fell, the price of gold rose.

The U.S. dollar is the strongest currency in the world, and once the U.S. dollar is weak, only ** can act as the first "hard currency", so its demand will rise, and ** will rise with the tide.

3. The international political situation

For international financial markets, the biggest risk is political risk. As the saying goes, when the cannon goes off, **10,000 taels. As long as there are geopolitical frictions in the Middle East and North Korea, capital will always choose to invest in this period to "hedge".

4. Inflation

Inflation erodes the purchasing power of money, once the purchasing power of a currency weakens, there is a risk of depreciation of other assets, investors will choose to hedge and hedge, and the price of gold will follow.

5. Petroleum**

In the event of inflation, ** is the best store of value. The international gold price is closely related to inflation in the United States.