Gold prices continue to soar, constantly setting new historical highs!
In the short term, the trend of gold faces three key variables:
First, the expectation of the Federal Reserve's 'surrender-style interest rate cuts.' If the Federal Reserve begins a rate-cutting cycle in June, the US dollar may depreciate rapidly, and gold prices are expected to quickly rise above $3,300.
Second, the pace of gold accumulation in China.
For every 1% increase in China's gold reserve ratio, it needs to absorb about 20% of the world's annual production, which is very likely to trigger an epic gold squeeze.
Third, the uncertainty of the situation in the Middle East. After Israel's withdrawal, regional conflicts are recurring, which could trigger a new wave of risk aversion at any time, pushing gold prices to soar.
However, from a long-term perspective, the upward trend of gold has become difficult to reverse.
The United States wields the tariff stick, disrupting global supply chains, and abusing financial hegemony to exploit allies. In this context, the dramatic surge in gold prices is no longer just an ordinary market fluctuation but an important symbol of the process of reshaping the international order.
In this ultimate game of monetary power, gold is not only a safe haven for investors but may also become a key force in burying the hegemony of the US dollar.