Multiple factors push gold to restart its upward trend, and Wall Street institutions are optimistic about the upward cycle of gold According to BlockBeats, on August 6th, in the past two days, the international gold price ended its consolidation of nearly a month, and spot gold briefly returned above $4300 per ounce, reaching a new high since early July. This round of gold rebound is not driven by a single factor, but the result of macroeconomic policy expectations, official demand, institutional funds, and market sentiment. On a macro level, the ADP employment figures in the United States increased by only 44000 in July, significantly lower than market expectations, indicating that the US labor market continues to cool down, and the market subsequently lowered its expectations for further tightening policies by the Federal Reserve. At the same time, the expectation of a US interest rate hike in September has significantly cooled down, with US bond yields and the US dollar falling simultaneously. The attractiveness of gold as an interest free asset has once again increased. The market is currently waiting for non farm payroll data to confirm whether the US economy will further slow down. In terms of geopolitics, there have been signs of easing in the situation in the Strait of Hormuz recently. The diplomatic negotiations between the United States, Iran, and Oman have made progress, and the market expects a decrease in global energy transportation risks, a drop in international oil prices, and a cooling of energy inflation expectations, further weakening the market's bet on the Fed's continued hawkish policy and becoming an important catalyst for the recent rise in gold prices. Official demand remains the most important long-term support for the gold market. The Bank of Korea announced the resumption of gold purchases after a 13 year hiatus. It has not only started allocating gold ETFs, but also plans to establish a mechanism for purchasing physical gold in South Korea. At the same time, data from the World Gold Council shows that in the second quarter of 2026, global central banks net purchased 288.9 tons of gold, a year-on-year increase of 62%, setting a new historical high for the same period. This indicates that global central banks continue to promote the diversification of reserve assets, and the demand for gold strategic allocation remains strong. In terms of capital flow, China's gold ETFs have recorded net inflows for 14 consecutive trading days, the longest continuous inflow record since March this year. Macro funds have continued to increase their gold allocation since June, with Asian funds flowing back into the gold market. At the same time, the Shanghai Gold Exchange's gold prices have seen a renewed premium over London gold, reflecting the continuous improvement in Asian spot demand and becoming an important support for the stabilization and recovery of gold prices. In terms of institutional perspectives, multiple Wall Street institutions continue to maintain their bullish outlook on gold in the medium to long term. Deutsche Bank believes that gold is still in the "explosive upward phase" since 2024, maintaining a target price of $4600 by the end of 2026; UBS expects that gold is expected to rise to $4600 by the end of the year and further challenge $5000 in 2027, against the backdrop of continued central bank gold purchases, restored investment demand, and a shift in Federal Reserve policy; Citigroup, State Street Investment and other institutions also predict that gold still has further upward potential in the medium and long term, supported by central bank purchases and continuous inflows of funds.