Ray Jia
Research Head, China World Gold CouncilThe Chinese gold premium: has the dust settled on the record surge?
China’s local gold price premium has rocketed to previously unseen levels, reaching US$121/oz on 14 September. And August’s US$41/oz monthly average already marked a record since the Shanghai Gold Exchange’s establishment in 2002.
Ray Jia
Research Head, China World Gold CouncilChina’s gold market in August: demand improved on multiple fronts
Gold prices quoted in USD and RMB headed in different directions in August. Major factors including rising US Treasury yields and a strong dollar weighed on the international gold price in USD. But the Chinese currency weakness, which depreciated by 2% against the dollar in the month, led to a mild increase in the RMB gold price.
Ray Jia
Research Head, China World Gold CouncilChina’s gold market in June: wholesale demand stable and gold reserves up
Despite June weakness, the LBMA Gold Price AM in USD and the Shanghai Gold Benchmark PM (SHAUPM) in RMB ended the first half of 2023 higher by 5% and 9% respectively – the depreciation of RMB against the dollar over the period contributed to the significant difference.
Ray Jia
Research Head, China World Gold CouncilChina’s gold market in May: gold reserves saw the seventh consecutive rise but wholesale demand weakened
Gold prices failed to extend the momentum of the previous month. Factors such as a strong dollar and rising yields weighed on the USD gold price in the month. But due to a 3% depreciation in the local currency against the dollar, the SHAUPM in RMB strengthened.
Ray Jia
Research Head, China World Gold CouncilChina’s gold market in April: wholesale demand down but gold reserves rose for the sixth consecutive month
Key highlights:
- The LBMA Gold Price AM in USD rose by 0.2% in April while the Shanghai Gold Benchmark PM (SHAUPM) in RMB saw a 0.7% gain, due mainly to a depreciating RMB against the USD
- The average Shanghai-London gold price premium fell sharply in April amid easing local supply and demand conditions
Ray Jia
Research Head, China World Gold CouncilChina’s gold market in February: wholesale demand strong, gold reserves rose further
Gold prices weakened in February. There was a 5% decline in the LBMA Gold Price AM in USD during the month. Meanwhile, due to a 3% depreciation in the RMB against the dollar, the SHAUPM in RMB saw a smaller fall of 1%
Ray Jia
Research Head, China World Gold CouncilChina’s gold market in December: gold reserves rose further but wholesale demand remained weak
Intensifying expectations of a less-hawkish US Fed bode well for international gold prices during the last month of 2022. While the SHAUPM in RMB rose 1% in December, the LBMA Gold Price AM in USD capped a 3% gain.
Ray Jia
Research Head, China World Gold CouncilChina’s gold market in November: wholesale demand weakened, gold reserves rose
The divergence between the RMB and USD gold prices widened. The weakening US dollar and lowering yields helped pushed the LBMA Gold Price AM in USD 7.4% higher in November, the best month since July 2020.
Ray Jia
Research Head, China World Gold CouncilChina’s gold market in October: seasonality and COVID disruptions weighed on wholesale gold demand
Gold’s price divergence continued: the Shanghai Gold Price Benchmark PM (SHAUPM) in RMB rose by 1%, while the LBMA Gold Price AM in USD saw a 2% fall in October.
Ray Jia
Research Head, China World Gold CouncilChina’s gold market in August: local price premium extended its rise
The Shanghai Gold Price Benchmark PM (SHAUPM) in RMB rose by 0.5% in August while the LBMA Gold Price AM in USD saw a 2.6% fall. The average Shanghai-London gold price spread climbed further in the month, driven by stronger demand
Ray Jia
Research Head, China World Gold CouncilChina’s gold market in May: a demand recovery may be near
Gold prices fell in May. Primarily driven by negative momentum impacts as well as lower risk and uncertainty, the SHAUPM in RMB and the LBMA Gold Price AM in USD fell by 1.8% and 3.2% respectively in the month.
Ray Jia
Research Head, China World Gold CouncilChina’s gold market in February: wholesale physical gold demand seasonally lower
Due to fewer working days in the month and manufacturers’ active replenishing ahead of the Chinese New Year (CNY) holiday, gold withdrawals from the Shanghai Gold Exchange (SGE) in February fell m-o-m.
Ray Jia
Research Head, China World Gold CouncilChina’s gold market in January: gold consumption boomed during the holiday season
China’s gold consumption boomed during the CNY holiday. A lower local gold price and freed-up travel budgets – due to COVID outbreaks in different regions – might have spurred consumer interest in gold products, especially Heritage gold jewellery and tiger-themed items.
