Interestingly, just as gold prices experienced a significant pullback, the Singapore Exchange launched its first local gold ETF product. This LionGlobal Physical Gold ETF adopts a physical storage model, with gold purity reaching 99.5%, and now ordinary investors can trade directly, whereas previously it was only available through over-the-counter trading.

Looking at the gold market trend explains why this timing is somewhat delicate. Not long ago, gold was above $5,400 per ounce, but it has now fallen to around $4,100. The underlying logic is quite clear: soaring energy prices have driven up inflation expectations, causing central banks to hold steady, which in turn has reinforced expectations of a rising dollar and interest rates. The market's focus has shifted from safe-haven demand to concerns over inflation and liquidity, which has been quite a suppressive factor on gold prices.

Interestingly, Hong Kong is also promoting similar strategies, working on a gold clearing agreement with the Shanghai Stock Exchange. The launch of this Singapore gold ETF seems to be following the broader trend of centralizing gold trading in Asia. But entering at this point does mean facing short-term price pressures.