Analysis: The Greenland incident is still fermenting, and risk aversion sentiment will provide certain support to the prices of precious metals such as gold and silver.

Deep Tide TechFlow News, January 21, according to Jin10 Data, the Shanghai gold futures continued to rise in the early trading session, currently up over 3%. A research report from Xinhu Futures on January 21 shows that the Greenland island incident continues to ferment, the European Parliament has frozen the approval process of the trade agreement previously reached between the US and Europe, and both European and American stock markets have fallen sharply. Precious metals represented by gold and silver have closed significantly higher. On Wednesday local time, the US Supreme Court began hearing the “Trump vs. Cook” case, with Powell attending rarely, focusing on the independence of the Federal Reserve. Meanwhile, Bessent stated that Trump is likely to finalize the next Federal Reserve Chair candidate as early as next week, with former Fed official Wosh having the highest probability of being elected. In the short term, geopolitical uncertainties still exist, the Greenland island incident is still fermenting, and risk aversion sentiment will provide certain support to the prices of gold, silver, and other precious metals. In the medium to long term, central bank gold purchases are ongoing, coupled with the global currency flood and the irreversible or even accelerating trend of de-dollarization, which will continue to support the upward movement of precious metals, and subsequent precious metals may still remain relatively strong.