Precious metals slammed, silver plummeted. Was it this news out of China?

💡 DMK Insight

China’s gold consumption drop signals potential shifts in demand dynamics, and here’s why that matters: A 3.57% decline to 950.096 metric tons in 2025 could reflect broader economic concerns, especially in a market already jittery from geopolitical tensions and inflation fears. For traders, this isn’t just a number; it indicates a potential weakening in one of the largest gold markets, which could lead to price corrections in gold and related assets. If gold prices start to falter, we might see a ripple effect on ETFs and mining stocks, particularly those heavily reliant on Chinese demand. Keep an eye on the $1,800 support level for gold; a breach could trigger further selling. On the flip side, if gold output rises by 1.09%, it could suggest that producers are gearing up for future demand, possibly anticipating a rebound. Traders should monitor how these dynamics play out in the coming weeks, especially with the upcoming economic data releases that could influence market sentiment. Watch for any shifts in retail or institutional buying patterns as well, as they could provide clues about future price movements.