Last week, driven by factors such as escalating trade friction, rising expectations of a Fed rate cut, and the fallout from a U.S. regional bank, gold prices continued to soar. On October 17th, gold prices surged to $4,392 at one point. During the session, influenced by Trump's signals of easing trade tensions, the U.S. dollar strengthened, and gold prices plummeted significantly. Both spot and futures gold prices fell below $4,200. By the close, COMEX gold futures fell 0.85% to $4,267.9 per ounce. As of the Asia market close, the China Gold ETF (518850) rose 3.51%, and the Gold Stock ETF (159562) rose 0.09%.

On the news front, in an interview aired on Fox Business on Friday, Trump stated that continuously applying pressure with high tariffs "could hit the U.S. economy."

Hualian Futures analysis pointed out that tariff disruptions are recurring. Gold prices plunged during Friday's night session, with increased intraday volatility. Rising market risk aversion and U.S. fiscal issues leading to a government shutdown are both favorable for gold. If the U.S. raises tariffs, it would further increase downward pressure on the economy and employment, indirectly stimulating the Fed to accelerate the pace of interest rate cuts, all of which would provide bullish stimulus for gold and silver. However, the tariff issue currently only has an emotional impact; subsequent focus should be on how both sides handle the tariff issue. Overall, in the long term, the fundamental bullish logic for gold remains, including a weaker U.S. dollar and central bank gold purchases driven by global political and economic instability. The view that gold will continue to rise remains unchanged.