🚨 BREAKING NEWS: CHINA'S GOLD FRENZY: BUBBLE SIGNALS FLASH RED🔥📊🚨
China's gold market is sending unmistakable warning signs of speculative excess, according to Capital Economics.
The surge in demand increasingly resembles a bubble driven by leverage and heavy futures trading rather than traditional safe-haven buying. While jewelry demand has collapsed under record prices, investment flows into bars, coins, and ETFs have exploded—Chinese gold-backed ETF holdings have more than doubled since the start of 2025, and speculative net-long positions on the Shanghai Futures Exchange remain at elevated levels.
U.S. Treasury Secretary Scott Bessent recently described Chinese gold trading as “unruly,” pointing to tightening margin requirements as evidence of overheating.
Capital Economics warns that this combination of leverage and speculation raises the risk of sharp volatility ahead. When bubbles inflate this quickly, the eventual unwind can be brutal.
The higher gold climbs on speculation, the harder—and faster—it could fall. Investors should tread carefully. #CPIWatch #Write2Earn #ChinaGoldRush $XAU
