[CITIC Securities: Gold Prices Expected to Return to Upward Channel Within the Year]
According to a CITIC Securities research report, gold prices surged and then quickly fell this year, but gold remains in a major bull market. The reasons include the accelerating expansion of the U.S. fiscal deficit, geopolitical rifts under deglobalization that are difficult to heal, and continued central bank gold purchases providing underlying support. Therefore, the current decline is only a temporary correction within the bull market. The current drawdown has approached historical extremes, and the area around $4,000 per ounce is likely the bottom zone for this round. Looking ahead, the report expects the situation in the Strait of Hormuz to shift from suppressing gold prices to supporting them. Federal Reserve monetary policy may turn out more optimistic than the market expects, and surging U.S. military spending will push the deficit higher. As a result, gold prices are expected to return to an upward channel within the year.