Emerging buyers into the market gold steep diving

HSBC (HSBC) yesterday (March 1) pointed out that a sharp fall in the price of gold on Wednesday may stimulate demand in emerging markets.

Fed ** Bernanke did not make any hints about the third round of quantitative easing. The US dollar index was higher and gold and silver fell sharply.

Gold prices have been unable to stand on the 1800 level in recent days. COMEX's speculative net long position has increased sharply since the beginning of the year. Emerging markets lacked buying interest in recent weeks. These factors make gold very vulnerable to sell-off. The fall in gold prices also drags down silver. .

Such a steep fall often attracts emerging market buyers into the market, and can stimulate the central bank’s gold demand. The purchase of these buying prices may soon curb the decline in gold prices.

In addition, the monetary environment in various countries remains loose, crude oil supply is still vulnerable to geopolitical crisis, structural weakness still plagues the US dollar, and it is believed that these factors will still help gold resume its upward trend.

At 09:01 GMT, today's gold price was reported at 1,720.81 U.S. dollars per ounce.