Gold prices hit new high

Gold prices in Macau have soared to a new record high, reaching over MOP30,000 per tael earlier this week, as global bullion prices continue their upward trajectory, according to Lei Koi Ian, the president of the Macau Goldsmiths Guild.

Spot gold prices rose more than 1% globally earlier this week, driven by a combination of geopolitical tensions, US interest rate cuts, and other macroeconomic factors, Lei explained. He anticipates that prices will keep climbing amid the ongoing uncertainties.

While some buyers stated that the new high prices were still manageable given the current economic conditions, others noted a significant gap from the pandemic lows of nearly two years ago, when gold cost around MOP20,000 per tael. As one resident remarked in a TDM report, “For working families, it’s become too expensive.”

This shift in pricing has also led to a change in consumer behavior, with Lei observing a trend toward lighter jewelry choices that fit the same budget.

Customers are now prioritizing design over weight, opting for pieces that suit their constrained spending power.

The surge in gold prices has also prompted some existing owners to cash in on their investments. Lei noted, “As there are many people who have previously invested in gold, they may try to sell and make a profit.” Additionally, some speculators are attempting to capitalize on the price trend.

Despite the challenges, Lei assured that there were “still buying and selling activities” in Macau’s gold market, though the “proportion of gold sales has increased” compared to periods of lower prices. Victoria Chan