Gold sees a major plunge, essentially driven by a shift in expectations for Federal Reserve policy, along with profit-taking by investors who accumulated positions at high levels—together resulting in a deep pullback. In the short term, the momentum of the bulls has been disrupted, but the foundation of the long-term bull market has not been damaged. The 4,500 area—an important lifeline—will be the key level for assessing the extent of this pullback. Don’t blindly pick up bargains in the short run. For those focused on the long term, you can wait for prices to fall further and then scale in gradually. At all times, strictly control your position size, and put risk management first.
Many people easily confuse two things: a short-term pullback does not mean the long-term uptrend thesis has completely ended. The underlying factors that support gold’s long-term strength still remain: the United States’ massive debt burden of $40 trillion, central banks around the world continuing to increase their gold holdings, and multiple countries pushing for diversification of foreign exchange reserves. These big-picture trends will not reverse just because the Fed changes its stance once. Central bank gold purchases are a long-term allocation that can support gold’s major floor, but they can’t offset the short-term, intense volatility caused by changes in interest-rate expectations.
#黄金
Many people easily confuse two things: a short-term pullback does not mean the long-term uptrend thesis has completely ended. The underlying factors that support gold’s long-term strength still remain: the United States’ massive debt burden of $40 trillion, central banks around the world continuing to increase their gold holdings, and multiple countries pushing for diversification of foreign exchange reserves. These big-picture trends will not reverse just because the Fed changes its stance once. Central bank gold purchases are a long-term allocation that can support gold’s major floor, but they can’t offset the short-term, intense volatility caused by changes in interest-rate expectations.
#黄金
