Core Viewpoint - The core viewpoint of the articles is that the bullish trend for gold is expected to continue into 2026, driven by factors such as the easing of the US dollar and declining confidence in the dollar system and assets [2][5][6]. Group 1: Factors Supporting Gold Prices - In 2025, gold prices increased by over 50%, outperforming other major asset classes, primarily due to the US dollar entering a loosening cycle and a decline in investor confidence in the dollar system [5][6]. - The Federal Reserve has initiated interest rate cuts, with two reductions of 25 basis points each, and plans to stop balance sheet reduction, leading to increased dollar liquidity which supports gold prices [5][6]. - The US fiscal deficit has risen significantly post-pandemic, with annual deficits now around 6-7%, leading to increased national debt and rising repayment risks, which negatively impacts confidence in the dollar [5][6]. Group 2: Outlook for 2026 - The optimistic outlook for gold in 2026 is based on the expectation that the core factors driving gold prices will remain unchanged, despite potential short-term tightening of monetary policy [6][7]. - The anticipated changes in Federal Reserve leadership and potential increases in the fiscal deficit may further pressure the credibility of the dollar, thereby supporting gold prices [6][7]. - Economic slowdown in the US and rising inflation could lead to a stagflation scenario, where gold, as a traditional inflation hedge, would benefit [6][7]. Group 3: Central Bank and Investor Behavior - Global central banks have been increasing their gold purchases, but many, especially in the Asia-Pacific region, still have relatively low gold allocations in their foreign exchange reserves [7]. - Given the uncertain macroeconomic and geopolitical environment, it is expected that central banks and global investors will further increase their gold allocations in 2026, providing additional support for gold prices [7]. Group 4: Long-term Investment Perspective - The current high valuation of gold does not necessarily indicate the end of the bull market, but it may lead to increased price volatility [4][6][7]. - Historical analysis shows that gold's annualized returns are competitive with stocks and significantly higher than bonds, suggesting strong long-term investment value [8][9]. - Gold's low correlation with other assets makes it a valuable addition to investment portfolios, enhancing returns while reducing overall risk [9].