On Wednesday, the gold market showed an overall correction trend, with prices oscillating downward during the day. During the US trading session, taking advantage of the ADP data release, the market tested lower again, but found support around the 4430 level and did not break below. Subsequently, indicators gradually recovered, ultimately completing a bottoming out and rebound.

From the current fundamental perspective, risk aversion sentiment is absolutely the core driving force. The global situation remains tense—European and South American markets are in panic mode, but traditional allies led by the UK and France have clearly taken sides, with camp divisions becoming more distinct and conflicts escalating. The Middle East, Russia-Ukraine, and Asia-Pacific geopolitical tensions are also far from optimistic. These factors, combined, are prompting the entire market to actively seek safe-haven tools.

Financial issues are equally profound. Since the outbreak of the pandemic in 2019, major global economies have engaged in large-scale monetary easing, directly leading to years of inflationary pressure. This pressure has never truly been digested but has instead gradually evolved into protectionism and resource competition among countries in international relations. The two most challenging issues in the financial markets today—US debt crisis and US dollar credit risk—are deep reflections of all these underlying problems.

From another perspective, the problem is quite clear: post-pandemic monetary easing → global inflation → intensified conflicts among parties → escalation of real-world conflicts. This causal chain is complete and interconnected, and these fundamental contradictions cannot be resolved in the short term. Therefore, it is certain that demand for safe-haven assets like gold and silver will remain high in the medium term.