According to the Guotong Financial APP, on October 17, the international gold price hit a historical new high again, with COMEX gold reaching a daily high of $2712.7 per ounce, and COMEX gold's cumulative increase for the year exceeding 30%. Analysts say that the continued rise in gold prices is mainly driven by the dual attributes of currency and safe haven. On one hand, global central banks continue to cut interest rates, with the expansion of balance sheets expected to strengthen the currency attributes of precious metals. On the other hand, central banks around the world alternately increasing their holdings of gold, combined with safe haven attributes, have brought more favorable support to precious metals.

Central bank purchases of gold in various countries are one of the main driving forces behind the record high international gold prices this year. Recently, officials from central banks of countries such as Mexico, Mongolia, and the Czech Republic have rarely spoken out on different occasions, openly expressing support for increasing gold reserves. These officials indicate that against the backdrop of escalating geopolitical tensions and declining interest rates, the proportion of gold in the national central bank reserves may continue to increase in the coming years.

Joaquín Tapia, Director of International Reserves Department at the Bank of Mexico, said: "Given the current backdrop we are facing - low interest rates, tense geopolitical situation, US elections, and much uncertainty, perhaps the share of gold in our investment portfolio will also increase."

Furthermore, the deterioration of the geopolitical situation has increased market uncertainty, leading to increased demand for safe-haven assets such as gold. Israel's indifference to peace appeals from the United States and the United Nations and its continued reinforcement of strike actions in southern Lebanon raise the likelihood of escalating conflicts in the Middle East.

Soni Kumari, Commodity Strategist at ANZ Bank, stated that one factor that could change gold price trends is the relaxation of US monetary policy, as this would create conditions for investment demand. Uncertainties surrounding the US elections and geopolitical tensions will also support gold. During periods of low interest rates and geopolitical turmoil, gold is often the preferred choice for investment.

As the international gold price continues to soar, the retail prices of gold jewelry in major domestic gold shops have also been climbing. On October 17, several gold shops such as Chow Tai Fook, Lao Miao Gold, and Lao Temple Gold offered gold prices per gram reaching 793 yuan. Moreover, it is widely believed within the industry that there is still some room for gold prices to rise in the future. Precious metals consulting firm Metals Focus forecasts that driven by further interest rate cuts, geopolitical concerns, and diversification of investment portfolios, the spot gold price will reach a historical new high of around $3000 per ounce in 2025.

Open source securities stated that October is a critical month before the USA presidential election, and overseas investors may once again play games on the expectations of the election results and the pace of the Fed rate cuts. In December, a test window for Fed rate cuts appeared, and the market became more sensitive to data indicating economic weakening, considering that the rate of decline is still slow (expected 100 BP within the year). There may be a possibility of falsifying an economic soft landing, causing rapid market trading as the economy cools. Therefore, gold still presents a buying opportunity in October and November, and there may still be a two-stage rally in gold prices in H1 2025. Recommended to pay attention to: Chinagoldintl, zhongjin gold corp.,ltd., sd gold, benefiting symbols include zhaojin mining, chinagoldintl, etc.

Related concept stocks:

Zijin Mining Group (02899): The company's main source of profit comes from copper mining and gold mining business. In the first half of the year, the company's copper mining output was 518,570 tons, a year-on-year increase of 5.3%, and the gold mining output was 35,406 kg, a year-on-year increase of 9.5%. During this period, the third phase of the Kamoa copper mine was completed and put into production half a year ahead of schedule. After reaching full production, the annual copper production will increase to over 0.6 million tons, becoming the largest in Africa and the third largest in the world; the Savaialton gold mine 2.4 million tons/year mining and selection and 5 tons/year gold smelting project were completed and put into production as scheduled.

SD Gold (01787): According to a report from Morgan Stanley, against the backdrop of soaring gold prices, SD Gold continues to enjoy a strong profit trend. The company's production growth stems from Linglong Mine resuming operations, the Katrin Cardiol (Cardinal) project in Ghana expected to start operating in the last quarter; and the contribution from holding a 28.89% stake in Yintai Gold Co., Ltd. (000975.SZ) (now known as Chinagoldintl).

Laopu Gold (06181): In the first half of 2024, Laopu Gold's revenue and net profit growth rates were as high as 148% and 199% year-on-year, respectively. Given the high-price fluctuations of gold since Q2 and the decline in the gold trinket industry, its growth performance is particularly outstanding. With strong product capabilities, and as its brand successfully breaks through on social content platforms like Xiaohongshu (Little Red Book), the number of consumers is rapidly increasing.