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Gold sees significant decline on global trade tensions, recession fears

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Spot gold experienced a significant decline on Monday, April 7, 2025, dropping 0.3% to $3,027.90 per ounce after hitting a 3.5-week low earlier in the session. This unusual behavior for gold, traditionally a safe-haven asset, prompted market speculation that investors are selling bullion to realize profits or cover margin calls on other investments. The sell-off is attributed to escalating global trade tensions and the resulting fears of a potential global recession.

Adding to the bearish sentiment, Morningstar’s John Mills foresees gold prices plummeting to $1,820 per ounce—a 38% decline—driven by easing inflation and potential trade normalization. Mehta Equities’ Rahul Kalantri attributes recent volatility to factors like a weak US jobs report and dovish Fed signals, projecting key trading ranges for gold.  

Gold prices face a potential 38% decline, according to Morningstar’s John Mills, who forecasts a drop to $1,820 per ounce due to shifting market dynamics. Meanwhile, Mehta Equities’ Rahul Kalantri warns of persistent extreme volatility, outlining specific support and resistance levels in both USD and INR, and attributing the recent swings to various economic indicators.  

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Chow Tai Fook Cashes In On Hong Kong’s Tourism Comeback

As Travelers Return and Gold Prices Wobble, The Jewelry Giant Proves A 52% Profit Jump Is Anyone’s Best Accessory

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Hong Kong jewelry giant Chow Tai Fook just wrapped up its fiscal year with fantastic  numbers -group revenue climbed 5% to HKD 94.4 billion (about $12.05 billion), while profit didn’t just grow, it basically exploded — up 52% to a record HKD 9.08 billion ($1.15 billion).

So what’s behind the glow-up? Two words: tourists and trust. As travelers flooded back into Hong Kong and Macau, same-store sales there jumped a staggering 17%. Mainland China wasn’t far behind, posting 7% growth even as the company admitted things got a little shaky in the final quarter thanks to gold prices doing their usual rollercoaster routine.

Chow Tai Fook didn’t just get lucky — they’ve been quietly reinventing themselves. Think less “grandma’s jewelry counter,” more curated boutique energy: trading out older locations for spots in upscale malls and leaning hard into branded collections instead of generic gold-by-the-gram sales.

Fixed-price jewelry (the stuff with a set price tag, not market-rate gold) shot up 16%, with the diamond-studded Hua Collection emerging as one of the year’s breakout hits. Gold jewelry sales overall: up a modest 3%.Store count: 5,540 in mainland China, 96 across Hong Kong and Macau

In its own words, the company chalked up the rebound to brand transformation efforts paying off even amid a softer mainland market. At the same time, the tourism recovery did some heavy lifting for Hong Kong and Macau sales. Chow Tai Fook believes fiscal 2027 will be much stronger, with “significantly fewer” store closures, as demand stabilizes.

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