Stagflation expectations catalyze the value of gold allocation, Guotai Gold ETF (518800) surged nearly 3%, with a net inflow of over 800 million yuan for five consecutive days

Stagflation expectations drove Guotai Gold ETF (518800) to rise nearly 3% on April 8, with a net inflow of over 800 million yuan for five consecutive days. Guohai Securities analysis pointed out that U.S. inflation is difficult to return to target, and economic downward pressure is increasing, enhancing the allocation value of gold as a risk hedging tool. Medium to long-term factors such as fiscal deficits and geopolitical tensions continue to support gold demand, and it is expected that the Federal Reserve's interest rate hike space is limited, which may provide support for gold prices. Investors need to carefully choose products that match their risk tolerance