Understood ✅ The sudden surge in gold prices last night has indeed attracted the attention of many investors, which is the result of multiple market factors resonating. The main reasons can be attributed to the safe-haven demand triggered by weak U.S. economic data and the rising expectations for a Federal Reserve interest rate cut.

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### 📉 Weak U.S. economic data raises risk aversion.
The poor performance of several U.S. economic data released on November 10 became a direct catalyst for the rise in gold prices.
- **Deterioration of the Job Market**: The U.S. "Challenger" job data shows that in October, corporate layoffs exceeded 150,000, marking the largest monthly decline in over 20 years, reflecting the fragility of the labor market.
- **Consumer Confidence Weakens**: The University of Michigan's consumer confidence index fell to 50.3 in November, the lowest level since June 2022 and close to a three-and-a-half-year low, indicating heightened public concern about the economic outlook.
- **Concerns about Economic Recession**: Bloomberg's analysis indicates that the risk of a government shutdown and rising price pressures have heightened market fears of stagflation in the U.S. economy, significantly increasing the appeal of gold as a traditional safe-haven asset.

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### 💸 The expectation of a rate cut by the Federal Reserve strengthens, leading to a weaker dollar.
Weak economic data has directly changed the market's expectations for the Federal Reserve's monetary policy, driving funds into the gold market.
- **Interest Rate Cut Bets Heat Up**: Traders are increasing their bets on the Federal Reserve cutting interest rates in early 2026. Data from the interest rate futures market shows that the market's expectation for a rate cut in March next year has risen from 30% a week ago to 55%.
- **Dollar Index Under Pressure**: Expectations of interest rate cuts led to a short-term decline of 0.8% in the dollar index, while the dollar-denominated nature of gold makes it more cost-effective for global investors, further stimulating buying interest.
- **Expectations of Liquidity Easing**: The market simultaneously anticipates that after the end of the U.S. government shutdown, fiscal spending may increase, combined with the Federal Reserve's inclination towards easing, which drives long-term inflation hedging demand to increase funds in gold.

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### 🌐 Global central banks increase holdings and asset allocation adjustments
Structural factors also provide long-term support for the rise in gold prices.
- **Central Bank Gold Purchases Hit Record**: The latest data shows that in the second quarter of 2025, the total value of global central bank gold reserves surpassed the scale of U.S. Treasury holdings for the first time. This marks the first time since 1996 that gold's share in reserve assets has exceeded that of U.S. Treasuries, reflecting a weakening confidence in dollar assets among countries.
- **Surge in Private Investment Demand**: Gold ETF holdings increased by 12 tons last week, marking the largest weekly inflow in three months. Retail investors are increasing their allocations through funds, futures, and other channels, pushing the spot gold price to break through the 4050 USD/oz threshold, with an intraday increase of 2.8%.

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### 📊 Market Reaction and Technical Breakthrough
The technical breakthrough further amplified the upward momentum.
- **Key Resistance Level Breakthrough**: COMEX gold futures prices broke through the $4100/ounce integer level, triggering programmatic trading buy orders, pushing prices up nearly $52 in a short time, marking the largest single-day increase since March 2025.
- **Sector Interconnection Effect**: Gold concept stocks are rising in sync, with targets like Huayu Mining hitting the upper limit, reflecting the market's optimistic expectations for the precious metals industry chain.

Overall, the significant rise in gold last night was a chain reaction of "economic weakness → safe-haven demand + interest rate cut expectations → weakening dollar → inflow of funds," combined with the long-term trend of global central banks adjusting their asset allocations, which jointly pushed gold prices to a new interim high. Going forward, attention should be paid to the speeches of Federal Reserve officials and U.S. CPI data to assess whether the upward momentum can be sustained.