Have you noticed how quickly rumors spread online? Last week, the price of gold suddenly dropped, and wild theories about nuclear fusion and artificial gold production were circulating everywhere. Someone from an American company simply invented this story — and it took off. In no time, this rumor put significant pressure on the gold price.

The whole story about the fusion machine and mercury as a raw material is actually ancient. This idea has been around since the 1980s, but it has long been proven to be completely economically nonsensical. The gold produced would be radioactive, mercury is toxic, and the costs? Unaffordable. Still, this story was dug up again this week and went viral — people are looking for simple explanations for price fluctuations, and such high-tech fairy tales capture attention.

What’s really behind it? The strength of the dollar and U.S. government bonds. But that’s less dramatic, so many prefer to believe in the fusion story. Now, the gold price has risen again and climbed over $4,150. Standard Chartered Bank is speculating on interest rate cuts by the Federal Reserve, and suddenly money is flowing back into gold. Pension funds, family offices, and even ordinary people like my neighbor Zhang Ge are buying. He told me he bought 100 grams — he feels safer with gold because his money in the bank is losing value.

But beware: there are real pitfalls when buying gold. Cheap online offers often turn out to be gold-plated products. Those who buy jewelry as an investment must pay craftsmanship fees when selling and can quickly incur losses. My colleague Xiao Wang wanted to buy gold jewelry to save for a house purchase. I advised him to lock in the price first — he already saved 400 yuan in a week. That shows: timing is everything.

The current situation remains uncertain. The gold price fluctuates around $4,150, and whether the Federal Reserve will actually cut interest rates is still open. If the stock market falls again, gold could also come under pressure. I still know people from 2015 who lost money in both gold and stocks at the same time. They still speak of it with horror. Therefore: use regular channels, prefer ETFs, and never buy in panic.