Recently, the gold market has experienced a wave of volatility.

Last Wednesday, London spot gold hit a low of $4,066 per ounce, marking a new stage low, and the psychological threshold of $4,000 was once at risk.

Subsequently, it rebounded from the low, and on Friday, London spot gold prices surged during intraday trading and climbed above $4,200 per ounce, recovering most of the losses within the week and closing at $4,194 per ounce.

The rapid rebound was driven by a combination of short-term factors, including a temporary pause in the rise of US Treasury yields, a weaker dollar, and falling oil prices.

However, more noteworthy than price fluctuations is the divergence in capital flows: speculative positions are retreating, while allocation funds are stepping in to absorb.

A precious metals trader told reporters that in the fourth quarter, gold prices are likely to show a wide-ranging oscillation pattern with a top and a bottom, with the core trading range being $4,000 to $4,400 per ounce.