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💥Mind-Blowing Chart: The Engine Behind Gold's Surge Is Not War, But Central Banks' Printing Press! 🏦💸
💰 The Real Engine "Abundant Money": Behind the massive rise of gold since 2022, it's not crises or wars as thought; it's the increase in global money supply (liquidity) printed by central banks.
🎯 Perfect Alignment (Fidelity Model): Fidelity's global liquidity model (orange line) and the actual gold price (black line) have historically overlapped almost one-to-one. Gold prices the printed money.
🚀 Still Has Upside Potential: According to the data at the end of the chart, the target value indicated by the global liquidity model is $4,670, while the actual price remained at $3,959. This indicates that gold is still "cheap" compared to liquidity.
🏦 Central Banks Accumulated, Small Investors Missed Out: While gold was breaking records, there were long-term outflows from Western gold funds (GLD cumulative flows). So, the rally was not carried by stock market investors, but by central banks quietly accumulating physical gold.
⏳ Crowds Again Late: The blue/yellow bars at the bottom of the chart show that investors only started entering funds after the price got close to the peak ($5,595), meaning the majority boarded the train late.
🛡️ Insurance Against Fiat Money: Gold is not a classic commodity; it is the safest insurance against the ever-depreciating fiat currency system.
However, as the Dollar strengthens and interest rates remain high, pressure on the price continues. The period is usually short, gold will rise again.
#GOLD #gold #XAUUSD $GLD