SMM September 29-you know that the world's largest gold consumer market is China, India second, China and India account for more than half of the world's gold market! Before the Chinese New year, Indians will go on a buying spree before Diwali, and aunts from both countries rush into gold stores like cabbages. What's more, the US media have made fun of the change in the international gold price due to the collective purchase of gold by Chinese aunts, which is, of course, a joke, but it also shows that Chinese aunts are absolutely vague when they buy gold.

Gold began to rise in 1971 because 71 was the year of the disintegration of the modern gold standard, when President Nixon ordered that gold be unpegged from the dollar! If you want a piece of gold, you can buy any dollar you want. Whatever you like. This is the collapse of the Bretton Woods system that we are familiar with. Gold was traded at $35 an ounce before it disintegrated, and after it was unhooked, gold began to rise like a runaway horse, with 1980 gold rising as high as $850, Later, under the pressure of President Carter, he was depressed for 20 years. The chart below shows the trend of gold since the 1970s.

The chart below shows the trend of gold and the dollar since July last year.

With regard to whether gold is preserved or not, Professor Lang Xianping, a famous economist, gave an example at that time: 100 years ago, a tael of gold could be exchanged for 2 mu of fertile land, and 5 taels of gold could be exchanged for a Beijing siheyuan. 100 years later, 1 kilogram of gold could not buy a toilet. This shows that house prices are indeed rising very fast, compared with the gold rise is not ideal, or even can not keep up with inflation. It has been estimated that the price of gold at $850in 1980 is equivalent to about $2200 today. That is to say, all prices in the world have gone up, and gold has depreciated on the contrary. The data are not necessarily accurate, but it is really worth thinking about, because after the gold standard, inflation will inevitably devour the wealth of the people. If gold fails to catch up with inflation, How can we maintain the value of the value? By contrast, house prices seem to be more suitable for preservation of value. In fact, when gold is out of circulation, it has little effect other than as an ornament. Buffett, the god of stocks, said in an interview in 2009: from now to the future, gold is of no use to you, but you look at it and it looks at you, like a hen who can't lay eggs, just sitting there. You have to keep eating. Gold needs insurance, custody, and so on. " What do you mean? That is to say, gold goes from being dug up to being stored in a vault, and then it is protected by people who do not generate profits like companies or interest as deposits. So why do so many people buy it? he says he doesn't understand why he wants to break his head. In his view, it is stupid to stir-fry gold, and investors can only expect a more stupid person to buy it at a higher price. Coincidentally, Bitcoin, known as "virtual gold," has also been criticized by Ba Shen, who said as early as 2014 that Bitcoin is essentially a mirage and will end miserably. Some people think it has great intrinsic value. It seemed to him to be a joke. As the so-called heroes think alike, Ba Shen, as the only legendary figure in the world who sits on the top of the world by investment, his speech has absolute influence. His attitude cannot but trigger a rethink of gold and "gold-like" bitcoin.

Of course, one of the important reasons why gold is popular among the public is that there are relatively few financial targets that our country can invest in. In contrast, Westerners have more types of investment. You can choose a better one according to your preferences and enjoy a high post-sleep income.

Of course, gold does not maintain its value in the long run, short-term investment value still exists, and the U. S. market fluctuations are often very large, silver is bigger, technical can play, no technical or to tighten the purse!