1 thought on “Why does the gold stock fall so much”

  1. Mainly due to these five reasons:
    First, the phased increase is too much. In the A -share market, the vast majority of sectors and individual stocks in the A -share market have a supplementary rise and fall. The decline in the past two years is just a response to the decline in the Shanghai Stock Exchange Index. Simply put
    Secondly, the overall market value of the gold sector is 374.8 billion, the platelet price -earnings ratio is 57.28 times, and the net ratio of the market is 3.2 times. The angle of valuation is significantly higher than the average valuation of Shanghai and Shenzhen, with obvious foam properties.
    Third, the rise and decline of the golden sector and individual stocks are more stimulated by the news, such as the bottom line of the United States, which is quantitatively loose, and the international geopolitical conflict. It is unpredictable, it comes quickly, and the ebb is faster.
    In the era of information flooding, the influence of news information on individual stocks is gradually weakening, which means that the impact of a message on individual stock sectors is only two or three days, and the continuity of its popularity is poor.
    Fourth, since the golden sector jumped up on July 6, three gaps have been left for the two gaps, 840 ~ 846 and 861 ~ 865. The hidden dangers of the attack, because from the perspective of probability, 95%of the gap in the A -share market will be replenished.
    Fifth, the spot price of international gold futures impacts the $ 2,000 mark. At the same time, it needs to be stepped back after breaking through the 2011 high. Under the pressure and platform back to the dual technical pressure, international gold prices have rushed down. This indirectly affects the rise and fall of gold stocks in the domestic A -share market.
    This expansion information:
    . Differential adulteration
    1, whether the gold has white highlights
    In materials to cut the gold bar or gold jewelry, observe the cut surface with a magnifying glass. If you see it, you can see it. The highlight of the white, because the gold and the cricket cannot be fused together, indicated that the gold is mixed with 铱.
    2, measured the proportion.
    In the weight of a pure gold bars with an balance, and then put the gold bars into a measuring cup and flood the gold bar. Then put the detected gold bars in a measuring cup, whether the scale of the water rises or decreases. As long as it changes, it means that the gold bar is not pure gold. But if it is gold jewelry, this method is not applicable because there is air in gold jewelry.
    3, real gold is not afraid of fire.
    This gold bars or gold jewelry burned for a while to observe its changes. Because the oxidation reaction occurs with oxygen in the air, the gold bars with insufficient purity will become gray; and the color of the pure gold will be red after the fire is baked. However, this method may be destroyed to jewelry.
    . The factors that affect the rise of gold:
    1. The geopolitical situation is harsh, such as the Iraqi War, the Libyan War, etc. It will promote people's concerns about banknotes, which will cause risk aversion and make gold and silver The price is up, promoting the rise in prices.
    2, the global economy is recovered, the investment enthusiasm is high, and the economic situation is good to indicate that the market currency supply is sufficient. It is higher and stimulates the rise in gold prices.
    3, the commodities in the financial market linkage rose, and the commodities include crude oil, gold, silver and many other products. When the commodities rose together, if the gold and silver are in a valuable depression, it will also rise.
    . The rise and fall of gold:
    1, US dollar trend: the price of the dollar and gold is negatively related. When the US dollar index is strong, it will weaken gold as a place for reserves and value preservation to a certain extent. Simply put, the dollar rises and gold falls. However, there is no absolute thing. When the external conditions are compounded, this law will be broken, but very little.
    2, geopolitics: The phrase "cannon sounds, golden thousands of thousands" is already old in the gold investment circle. At the time of political or economic turbulence, the attraction of credit currencies decreased. At this time, as the internationally recognized trading medium, Gold is reflected in the risk aversion value. The demand has risen and the price must be higher.
    3, economic crisis: In addition to the war, the "economic troubled times" will also lead to a change in investment preferences and stimulate people's demand for golden avoidance.

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