Spot gold hits a new high again, institutions see gold prices rising to $3800.

On September 2nd, driven by expectations of a Fed rate cut, the spot price of gold in London broke through the $3500/ounce mark, hitting a new high. Multiple institutions are predicting that after four months of consolidation, precious metals are likely to begin a new round of upward trend. Morgan Stanley has already set its year-end target for gold at $3800/ounce. "In the next two weeks, key events and time points to watch include: the release of the August ADP employment report on September 4th; the release of the August unemployment rate and non-farm employment numbers on September 5th; and the release of the August unadjusted CPI annual rate and monthly rate on September 11th," said Tian Yuan, a researcher at Huayuan Securities. The Fed's "rate cut trade" is expected to provide strong momentum for the rise in gold prices, and it is anticipated that in the second half of the year, changes in US monetary policy will support gold prices in conjunction with fiscal policy, with opportunities for selective allocations likely to emerge.