Core Viewpoint - The current surge in global gold prices, reaching historical highs, raises questions about whether it is a suitable time to invest in gold, with various factors contributing to this trend [1][3]. Group 1: Market Dynamics - Global gold prices, including domestic physical gold, futures, and international London gold, are consistently hitting historical highs, with Hong Kong's gold trading volume also reaching record levels [1]. - The recent U.S. Federal Reserve's interest rate cuts, moving from a 25 basis point reduction to a 50 basis point reduction, have provided strong support for gold prices [1]. - The weakening U.S. dollar, coupled with geopolitical tensions in the Middle East and the Russia-Ukraine conflict, has driven investors towards gold as a safe-haven asset [1]. Group 2: Inflation and Central Bank Actions - Persistent global inflation, economic contraction, and currency depreciation are underlying factors supporting the long-term rise in gold prices, with central banks worldwide, including China's, continuously increasing their gold reserves [1]. - The market sentiment indicates that while current conditions favor gold, there is a cautionary note that once positive news is fully priced in, it could lead to a downturn [3]. Group 3: Price Predictions and Market Sentiment - Short-term predictions suggest that gold could reach a pressure point of $3,700 per ounce, but there is a possibility of a technical adjustment thereafter, with a support range between $3,700 and $3,550 [3][4]. - The current market environment is characterized by a struggle between bullish and bearish sentiments, as evidenced by recent fluctuations in international gold prices [4].