CITIC Securities: Gold Sector Poised to Reach New Highs

GateUser-bd883c58 · 2026-03-24T06:19:59+00:00

# Ask AI: Why Has Weakening US Dollar Credit Become a Long-Term Driver for Gold Prices?Every Econ AI Flash, March 19: China International Capital Corporation pointed out that following each Middle East conflict in history, the medium-term trend of gold prices is still determined by US dollar credit and liquidity factors. Looking ahead to this round of conflict, it is expected that the continuation of two major trends—loose liquidity and weakening US dollar credit—will continue to push up gold prices. Historically, the advantage of valuation or stock price percentile rankings will strengthen the upside potential of the gold sector. Currently, the PE valuation levels of leading companies have fallen back to 15-20x, which is at historical lows. Meanwhile, considering that in recent years stock price highs and gold price highs have been highly synchronized, we are optimistic about new stock price highs driven by new gold price highs.Daily Economic News

GateUser-bd883c58

2026-03-24 06:19:59

Why has the weakening of the US dollar credit become a long-term driver of gold prices?

Everyday Economic News AI Quick Report, March 19 — CITIC Securities pointed out that after each Middle East conflict, the medium-term trend of gold prices still depends on the US dollar credit and liquidity factors. Looking ahead to this round of conflict, the continuation of two major trends—liquidity easing and weakening US dollar credit—is expected to continue boosting gold prices. Historically, valuation or stock price percentile advantages have strengthened the upside potential of the gold sector, while current top-tier company P/E valuations have fallen to a historic low of 15–20x. Considering that recent stock and gold price highs have been highly synchronized, there is optimism about new highs in gold prices driving new highs in stock prices.

Daily Economic News

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