As fluctuations in precious metals intensified, ICBC and Everbright Bank warned of risks on the same day. On November 2, Everbright Bank issued an announcement stating that domestic and foreign precious metals price fluctuations have recently intensified, and market risks have increased. Investors are invited to pay attention to market changes, raise awareness of risk prevention in the precious metals business, control positions reasonably, keep an eye on changes in positions and margin balances, invest rationally, and protect the safety of their assets. Looking closely at the reason for this round of gold price declines, Shen Wan Hongyuan's macro research team said in the research report that the first is the “spillover effect” of the sharp decline in the equity market or an important driver of the weakening of gold since late October — first reflected in the “fluctuation spillover” and emotional shock dimensions: since April, the correlation between gold and US stocks has remained high, higher than that of US debt, dollars, oil, etc. During the year, the NASDAQ experienced 11 single-day sharp declines of 2% or more, and in 8 of these, gold prices fell by more than 1.7% on the same day. Second, the spillover of equity assets through “liquidity shocks” may also have a certain impact on the decline in gold prices. When some institutions face a liquidity shock due to a sharp decline in the equity market, investors may exchange liquidity through methods such as leasing or selling and monetizing with gold mortgages.

As fluctuations in precious metals intensified, ICBC and Everbright Bank warned of risks on the same day. On November 2, Everbright Bank issued an announcement stating that domestic and foreign precious metals price fluctuations have recently intensified, and market risks have increased. Investors are invited to pay attention to market changes, raise awareness of risk prevention in the precious metals business, control positions reasonably, keep an eye on changes in positions and margin balances, invest rationally, and protect the safety of their assets. Looking closely at the reason for this round of gold price declines, Shen Wan Hongyuan's macro research team said in the research report that the first is the “spillover effect” of the sharp decline in the equity market or an important driver of the weakening of gold since late October — first reflected in the “fluctuation spillover” and emotional shock dimensions: since April, the correlation between gold and US stocks has remained high, higher than that of US debt, dollars, oil, etc. During the year, the NASDAQ experienced 11 single-day sharp declines of 2% or more, and in 8 of these, gold prices fell by more than 1.7% on the same day. Second, the spillover of equity assets through “liquidity shocks” may also have a certain impact on the decline in gold prices. When some institutions face a liquidity shock due to a sharp decline in the equity market, investors may exchange liquidity through methods such as leasing or selling gold for cash.