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Week 43 Gold Market Recap: Gold Market Volatility and Outlook; Historic Rally Meets Correction

2025-10-24 15:20:41 | 浏览 68

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This week, the gold market experienced notable volatility following an extraordinary rally that pushed prices to historic highs. On Monday, gold futures reached an unprecedented peak of $4,381 per ounce, marking a remarkable surge of over 50% in 2025 alone. However, a swift profit-taking wave ensued, triggering the steepest single-day drop in over a decade on
Wednesday, when prices fell by more than 8% to around $4,010 per ounce. This correction was primarily driven by easing U.S.-China trade tensions, a firmer U.S. dollar, and investors cashing in gains after a prolonged bull run. Despite the sell-off, market analysts remain optimistic, noting that dips could attract buyers given continued geopolitical uncertainties and strong underlying demand.

Several factors supported gold prices this week, including the prolonged U.S. government shutdown and speculation about future Federal Reserve interest rate cuts. The shutdown has maintained a risk-off sentiment among investors, bolstering gold’s safe-haven appeal. Additionally, expectations of a quarter-point rate cut at the upcoming Fed meeting on October 28-29 have underpinned the bullion’s upward momentum. China’s slower economic growth and challenges in its property sector also contribute to the market dynamics favoring gold.

Important Upcoming Events Next Week

Looking ahead to the week of October 27, two key events are expected to influence the gold market:

Presidential Meeting Between U.S. President Donald Trump and Chinese President Xi Jinping:

Scheduled to take place next week in South Korea, this high-profile summit aims to ease trade tensions that have significantly influenced global markets. Positive outcomes may temper gold’s safe-haven demand, while any signs of renewed trade friction could drive prices higher.

Federal Reserve Policy Meeting (October 28-29):

The Fed is widely anticipated to announce another quarter-point interest rate cut. This decision is being closely watched as lower rates typically weaken the U.S. dollar and support higher gold prices. The Fed’s assessment of inflation and economic conditions will be critical for investors’ positioning in the gold market.

Economic Data and Corporate Earnings to Watch Next Week

Next week, key economic data releases and events will influence the gold and financial markets. These include U.S. Durable Goods Orders for September, the S&P/Case-Shiller Home Price Index, Richmond Fed Manufacturing Index, and Consumer Confidence figures. Also scheduled are U.S. Wholesale Inventories, Pending Home Sales, and the important Federal Reserve FOMC policy meeting, where another interest rate cut is widely expected. Additionally, the U.S. advance GDP estimate for the third quarter, Japan’s unemployment rate, and Eurozone GDP and unemployment data will be released. These developments will play a significant role in shaping market trends next week.

Upway Global: Trusted Partner Through Market Dynamics

Upway Global, a leader in global precious metals trading since 2010, is firmly established as a top-tier AA member (No. 084) of the Hong Kong Gold Exchange (HKGX) and one of the core Bullion Group members. Anchored in values of compliance, transparency, and investor protection, the company has built a robust ecosystem with over 1.2 million active traders and has processed more than 600 million orders. In 2025, it achieved a monthly trading volume exceeding USD 479 billion, reaffirming its position as a premium physical gold supplier trusted by industry players and investors alike. Upholding professionalism and integrity, Upway Global is dedicated to promoting the healthy, stable development of Hong Kongs precious metals market and setting industry benchmarks. Start from this year, its average monthly trading volume surpassed USD 506 billion, demonstrating its significant influence and strength within Hong Kong’s financial ecosystem, while leveraging Hong Kongs unique “one country, two systems” advantage and Belt and Road opportunities to reinforce its role as a vital connector between East and West.