Group 1: Currency and Economic Outlook - Deutsche Bank analysts predict that Asian currencies may remain "relatively stable or slightly stronger than the dollar" by 2026, supported by good foreign exchange reserves and optimistic macroeconomic conditions in the region [1] - Analysts note that there are no extreme imbalances in trade and fiscal policies, and Asian policymakers are unlikely to encourage significant appreciation of their currencies against the dollar due to ongoing geopolitical risks [1] Group 2: Gold Demand and Market Trends - T. Rowe Price analysts highlight that central bank demand for gold remains strong and largely insensitive to price changes, providing "durable support" for gold as a strategic diversification tool [2] - The macro environment for gold remains favorable, with ongoing policy uncertainty and pressure on the dollar, benefiting gold as an asset outside the fiat currency system [2] Group 3: U.S. Treasury and Market Dynamics - The "Sell America" trade is identified as a key driver behind recent market movements, as investors seek to reduce exposure to perceived risks associated with U.S. policies [2] - U.S. 10-year Treasury yields reached a peak of 4.313%, the highest since August of the previous year, with a closing yield of 4.287% [2] - Factors contributing to the rise in U.S. Treasury yields include the decline in Japanese bonds, tariff threats from Trump, and the momentum from breaking the critical 4.20% technical level [2] Group 4: Japanese Bond Market - Following significant sell-offs, Japan's 30-year bond yields fell by about 20 basis points to 3.71%, although they still increased by 22 basis points for the week [3] - Japanese policymakers are urged to respond quickly as market volatility shows no signs of easing, and recent price rebounds may not be sustainable [3] Group 5: UK Inflation and Economic Projections - The UK inflation rate for December 2025 rose to 3.4%, exceeding the expected 3.3%, while the Bank of England is set to make a decision on interest rates next month [3] - Despite sluggish economic growth, the UK maintains the highest inflation rate among G7 countries, although a significant slowdown in price increases is anticipated in the coming months [3] - Financial markets expect the Bank of England to potentially lower interest rates once or twice in 2026, each by 25 basis points [3]

Group 1 - The core viewpoint is that gold is experiencing sustained demand from central banks seeking to diversify reserves, which provides "durable support" for gold prices [2] - T. Rowe Price analysts highlight that the record surge in gold prices confirms the macro environment for gold appreciation remains intact, driven by policy uncertainty [2] - The broader precious metals sector, particularly silver, is also showing strong performance, indicating a significant trend [2] Group 2 - Technical analysis indicates initial warning signals with a small bullish candle showing long upper shadows, suggesting profit-taking at high levels and a need for a technical correction [3] - The first Fibonacci support level is around 4804, which aligns with a key psychological level, serving as a reference point for aggressive traders [3] - Continued monitoring of the 4830 support level is advised, as maintaining this level could present short-term buying opportunities with a target price near 4880 [4]

Core Viewpoint - Demand for gold remains strong and largely unaffected by price fluctuations, providing "durable support" for the metal as central banks seek to diversify reserves [1] Group 1: Gold Market Insights - T. Rowe Price analyst Matt Bance highlights the record surge in gold prices, reinforcing the institution's long-standing positive view on gold as a strategic diversification tool for investment portfolios [1] - The macro environment conducive to gold appreciation persists, driven by factors such as policy uncertainty [1] - The pressure on the US dollar amid "policy-making instability" and close scrutiny of the Federal Reserve benefits gold as an asset outside the fiat currency system [1] Group 2: Broader Precious Metals Sector - The broader precious metals sector is also showing strong performance, with particularly notable trends in silver [1]

Investors should consider this report as only a single factor in making their investment decision. For Reg AC certification and other important disclosures, see the Disclosure Appendix, or go to www.gs.com/research/hedge.html. c45a43530f604d12bcb9a82b5aa6b9f6 22 October 2025 | 7:00PM EDT Economics Research Global Markets Daily: Still Structurally Bullish Gold (Thomas/Struyven) Lina Thomas +1(212)902-8376 | lina.thomas@gs.com Goldman Sachs & Co. LLC Daan Struyven +1(212)357-4172 | daan.struyven@gs.com Goldma ...