Gold prices experienced a significant breakthrough this week. At 9:10 AM, gold surged by 1.6%, finally breaking free from the previous stalemate. Do you still remember that 4% plunge? Afterward, gold prices oscillated within the $4300 to $4400 range, with bears and bulls locked in a tug-of-war. Until yesterday, the price broke through the critical resistance at $4400 and stabilized above it.

What does this mean? The upward momentum has resumed. From the candlestick chart, the next target of $4500 is not impossible. So why did the breakout happen so quickly? There are two perspectives that can explain the issue.

First is the external environment. The US actions in Venezuela have triggered a reassessment of geopolitical risks, and investor doubts about US creditworthiness have risen accordingly. When this uncertainty appears, demand for safe-haven assets increases—gold becomes particularly attractive at this time. Second is the economic aspect. Last night’s US manufacturing PMI data fell below expectations, signaling a potential economic contraction, which provides solid support for gold. Geopolitical and economic factors are driving forces.

However, there are other voices in the market. This week, the tech sector made a big move, with giants like NVIDIA and OpenAI releasing new products—fully autonomous driving systems, household robots, and so on, sounding like they’re from the future. These products are scheduled to be launched this year and are considered flagship applications of artificial intelligence. Currently, tech stocks are performing well, and the US stock market remains stable, so there hasn’t been much impact on gold and silver yet.

Turning to other precious metals. Silver has stabilized above $75, with $77 as the next challenge. Platinum also shows signs of rebound; as long as it holds above the $2200 mark, there is room for a rally.

This week is a test. Data releases are coming fast—tomorrow’s ADP non-farm employment report, the day after tomorrow’s non-farm payrolls, and fluctuations in the Bloomberg Commodity Index in between. As long as no unexpected events negatively affecting gold and silver occur, there is a good chance for gold, silver, and platinum to stage a decent rally. We’ll just have to see how the subsequent performance unfolds.