Spot gold continued its pattern of high volatility on March 25, briefly surpassing the $4,600 per ounce mark in a dramatic roller-coaster session. This is just one example of the recent sharp fluctuations in the precious metals market. On March 23, spot gold successively fell below several key psychological levels, including $4,500, $4,400, $4,300, and $4,100 per ounce, plunging as much as 9.75% during the day. It dropped below $4,100 for the first time since November 2025, erasing all its gains for the year and causing significant concern among market participants. In response to the mounting short-term volatility risks in the precious metals market, domestic banks have acted swiftly, upgrading risk controls for their precious metals businesses through risk warnings and rule adjustments.

Major state-owned banks and joint-stock banks have jointly issued risk warnings. This week, large state-owned banks, including Bank of China, Agricultural Bank of China, Industrial and Commercial Bank of China, China Construction Bank, and Bank of Communications, along with joint-stock banks such as China Minsheng Bank and China Merchants Bank, have all released market risk advisories regarding their precious metals businesses. These banks noted in their announcements that recent domestic and international precious metals prices have been extremely volatile, with significantly heightened uncertainty influencing market trends and increased market risks. The banks specifically advised investors to thoroughly and prudently assess their own risk tolerance and consider their personal financial situation carefully to engage in precious metals trading steadily. Keywords such as "rational investment mindset," "reasonable control of position sizes," and "guarding against market volatility risks" were repeatedly emphasized, aiming to guide investors to remain calm amid frenzied market conditions and avoid severe losses from blindly chasing rallies or selling in panic.

Beyond verbal risk warnings, several banks have taken further steps by adjusting trading rules for products like accumulated gold, implementing substantive business changes to cool trading fervor. Regarding position limits, China Construction Bank and Industrial and Commercial Bank of China stated they would impose purchase limits on accumulated gold under certain conditions, aiming to control the overall volume of precious metals trading and prevent excessive concentration by individual investors in a single high-risk asset. On transaction costs, China Merchants Bank and Jiangsu Bank opted to adjust fee structures by increasing short-term trading costs to curb speculative activities. Specifically, China Merchants Bank announced it would adjust the bid-ask spread for its gold account business to 5 yuan per gram for transactions at the same quotation time, with the spread on the buy side increasing by 2 yuan per gram while the sell side remains unchanged. This adjusted spread scheme is expected to be in effect until June 27, after which a new round of adjustments will follow. Jiangsu Bank made refined changes to the fee schedule for its gold accumulation business, setting a benchmark fee of 1.5 yuan per gram and implementing differentiated preferential rates based on different time periods. Industry analysis suggests that by raising buy-side costs or adjusting spreads, banks intend to increase the barrier to short-term speculative trading, encouraging investors to favor long-term holding over frequent trading.

The risk control measures introduced by banks are not merely temporary reactions but represent a deeper shift in risk management logic. Industry insiders point out that previously, banks' risk controls for precious metals businesses often focused on "static defense," involving passive restrictions when risks materialized. The current flexible adjustments to spreads and position limits signal a move towards a "dynamic adjustment" strategy. This dynamic approach is reflected in the real-time optimization of business parameters based on the magnitude of market fluctuations. For instance, China Merchants Bank has set a clear schedule and magnitude for spread adjustments, while Jiangsu Bank has implemented a phased fee strategy. This indicates that banks are establishing a more responsive risk management mechanism, capable of effectively withstanding shocks from short-term extreme market movements while guiding investors away from speculating on short-term price differences towards sound long-term asset allocation. This is not only a necessary step to protect investor interests but also reflects banks' efforts to enhance proactive management capabilities under the new asset management regulations.

Industry analysts note that although short-term gold price volatility has intensified, this has not shaken institutional confidence in gold's long-term value as a strategic asset. The latest report from the World Gold Council suggests the gold market is currently in a clear "wait-and-see mode," with short-term trends heavily influenced by geopolitical developments in the absence of major macroeconomic data guidance. The macro team at China Securities Co. also believes that the medium to long-term bullish case for gold remains intact, though short-term conditions require waiting for liquidity shocks to subside. For investors, the shift in banks' risk control approach serves as an important signal, reminding the market that while enjoying the benefits of precious metals in asset allocation, it is crucial to maintain respect for high volatility risks, follow the banks' guidance towards deleveraging and reducing speculation, and return to the fundamental principles of asset allocation.