Last Friday, the spot gold price exceeded $2,500/ounce, hitting a historic new high. A gold bar usually weighs about 400 troy ounces, which means that the price of each gold bar has hit a milestone of over $1 million. Of course, there may be slight differences in the data.

According to the London Bullion Market Association, in the global precious metals trading center of London, gold bars usually weigh about 400 troy ounces, but the purity of gold can also be between 350 and 430 ounces. In addition, there are smaller and cheaper gold bars available for individual purchase, such as those sold at Costco.

On Monday, the U.S. gold sector as a whole rose, and by the close,$Gold Fields (GFI.US)$up 2.45%,$Barrick Gold (GOLD.US)$up 2.54%, $Newmont (NEM.US)$ up 1.95%,$Kinross Gold (KGC.US)$up 2.07%,$Harmony Gold Mining (HMY.US)$up 2.63%.

According to data from Metals Focus quoted by foreign media, global central banks net purchased 483.3 tons of gold in the first half of this year, equivalent to nearly 40,000 gold bars. This is one of the factors supporting the strong rise of gold this year, in addition to the expected monetary easing policy by the Federal Reserve.

As global economic uncertainty increases, the attractiveness of gold as a safe-haven asset continues to grow, and demand for gold in the market is also increasing. This historic price breakthrough once again highlights the important status of gold in the global financial market.

As the Federal Reserve meeting approaches, analysts predict that the gold price will reach a new high. Some analysts predict that the gold price will reach $3,000 per ounce next year.

Sabrin Chowdhury, the BMI commodity analyst, said: "It is expected that the price of gold will reach multiple highs in 2024." She pointed out that gold is attractive as a safe-haven asset.

She added: "The prosperity of gold comes from uncertainty...(and) uncertainty is at its peak." She referred to the 2024 US elections, Russia's recent invasion of Ukraine, and the escalating tensions in the Middle East.

Israel and Iran seem to be on the brink of direct conflict. Earlier this month, Hamas political leader Haniyah was assassinated in Tehran and Iran vowed to retaliate. Israel has put its military on high alert and the US has dispatched a carrier battle group and a missile submarine to the region to support its allies' defense.

Another factor that drives up the price of gold is the increasing likelihood of the Fed cutting interest rates in September. The July Fed meeting boosted investors' confidence that a rate cut is a "done deal" next month.

Chowdhury said: "Once the Fed starts cutting interest rates (most likely next month), gold could reach $2,700 per ounce." Other analysts hold similar bullish views.

Citi analysts said in a report on Monday that gold investor confidence is expected to rise over the next three to six months. The bank added that they expect the gold price to reach $3,000/oz by mid-2025, with an average price forecast of $2,550/oz in the fourth quarter.

Traders will also be watching the annual economic policy symposium in Jackson Hole this week, which may shed more light on interest rate prospects, and Fed Chairman Powell will speak at the meeting.

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