There are many reasons for the price reduction. First of all, you should understand who determines the price of gold, not the market to buy and sell goods. Supply exceeds demand, it will fall, and supply exceeds demand, it will rise. Gold is a kind of financial product, which is determined by exchange speculation and futures hedging. The pricing power of the gold market lies in the London Gold Exchange and the comex gold futures market in the United States. Due to the sharp rise in the US stock market since the second half of last year, attracting a large amount of funds to speculate on US stocks, the trading volume in the gold market has shrunk rapidly. The sluggish trading volume gives the bookmakers the possibility to control the market. As long as the stop loss price of the bulls is broken, the bulls naturally surrender. So the futures market has formed an avalanche effect. Although this decline is somewhat exaggerated, I think it will fall further, and there is nothing wrong with the bear market. Don't think that ordinary people can control prices by buying physical gold. These are two different things. Gold began to decline step by step from the peak of $65,438+$0.920. Only after copying did I know that there was a cellar under the floor and hell under the cellar.

As for the national gold reserve you mentioned, the problem is this. From a national perspective, diversified allocation of its foreign exchange assets will help reduce risks. Reserve gold is an option, but not all. No country will gamble on gold like a gambler. Forget about other countries for the time being. Their domestic gold production is limited, and it is helpless to buy gold in the international market. In order to save China, when gold rose sharply two years ago, many critics questioned why China didn't use its foreign exchange reserves to buy gold. Later, the country gave the answer, which is like this. China has too much money, not to mention that if you show an intention to buy, the price will skyrocket. If you buy at a high price, you will suffer a big loss. And most importantly, there is too much money in China and not enough gold in the market. A lot of gold is stored in America. Do you think America will allow gold to leave the country? Moreover, the spokesperson of the State Administration of Foreign Exchange also said that although gold has risen in the past decade, from a national perspective, the market is focused on a stable word. Taking the year as the unit, gold fluctuates too much, so it is not appropriate to buy more. The reserves of our country are all mined from our own gold mines. Other countries do not have the conditions of China, but only buy in small quantities in the international market. China's key investment targets are national debt. The reason why he chose national debt is simple. His opponents are all governments, and transactions between countries can ensure good liquidity.