Gold prices suddenly plummet! Gold jewelry price per gram falls below 1,400 yuan, multiple gold shops launch discounts and promotions
At the close of trading on May 4th, Eastern Time, COMEX gold futures fell by 2.53% to $4,526.7 per ounce; COMEX silver futures dropped 4.23% to $73.2 per ounce.
Affected by international gold prices, domestic gold jewelry prices adjusted on the same day, falling below 1,400 yuan/gram. Chow Tai Fook's pure gold product was quoted at 1,392 yuan/gram, Lao Miao Gold's pure gold jewelry at 1,397 yuan/gram, and Chow Sang Sang's pure gold jewelry at 1,393 yuan/gram.
Image source: Photo by Daily Economic News reporter Zhao Jingzhi
Reporters noted that the price per gram of "fixed price" gold jewelry is much higher than that of jewelry priced by weight. Staff showed the reporters a 2.11g "fixed price" gold bracelet with an original price of HKD 4,890, which costs HKD 3,912 after a 20% discount, while the listed price for gold at Luk Fook in Hong Kong on the 29th was HKD 1,380 per gram. Although there are discounts, the final per-gram price for "fixed price" items is still higher than for gold jewelry priced by "weight + processing fee" in the store.
At a Chow Tai Fook store in Hong Kong, reporters observed that the shop offers a 95% discount on selected pure gold medals and gold bars. "This discount has been running for about one or two weeks, and we also offer discounted processing fees, with some as low as 1 HKD, and some at a 30% rate. Buying designated fixed price jewelry inlaid products can also earn Chow Tai Fook points back."
In Shenzhen, reporters learned that some gold jewelry brands also have promotional activities.
"For gold jewelry purchases, new members get 50 yuan off per gram." At a Chow Tai Fook store in Shenzhen, the salesperson said the gold price on April 30 was 1,410 yuan per gram, and after the discount, it is 1,360 yuan per gram.
Recently, the World Gold Council released the Gold Demand Trends Q1 2026 report, which shows that total global gold demand (including OTC transactions) reached 1,231 tons in the first quarter, up 2% year-on-year. Although the growth in demand was modest, the total value of demand soared to a record $193 billion, a sharp year-on-year increase of 74%.
Demand for gold bars and coins also heated up in other Asian markets including India, South Korea, and Japan. U.S. and European gold bar and coin demand saw strong growth as well, with year-on-year increases of 14% and 50%, respectively.
Shi Jialiang, Assistant General Manager of the Industry Development Division of Zhongtai Futures, told Securities Daily that the core driving force behind this round of international gold price adjustments lies in the phased shift in gold pricing logic, that is, the combined effects of "tightening policy expectations" and "liquidity crisis expectations," both of which suppressed the upward momentum of gold prices.
Specifically, "tightening policy expectations" refers to escalating geopolitical conflicts pushing up international oil prices, which in turn drive inflation higher. Rising inflation expectations further shift market expectations for the Federal Reserve's policy from accommodative to tightening, pushing the U.S. dollar index and U.S. Treasury yields higher in turn, creating short-term bearishness for gold. Meanwhile, "liquidity crisis expectations" arise from spreading market panic, where investors, in order to raise cash or fulfill margin requirements, are forced to sell gold, resulting in a short-term "failure of gold's safe haven attribute." The resonance of these two expectations has been a major reason for the recent sharp declines and key-level breakdowns in international gold prices.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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