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Gold Price Nears $4,000. Why It’s Soaring—and How It Can Keep Going.

1. Gold prices rose 1.5% to $3,945 due to political instability. 2. France’s government collapse led to a CAC-40 drop and rising bond yields. 3. Japan’s Nikkei 225 surged nearly 5%, boosted by new pro-growth policies. 4. U.S. federal shutdown furloughed 750,000 workers, impacting economic data. 5. Gold demand is increasing as markets seek safe-haven assets amidst turmoil.

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FAQ

Why Bullish?

Increased gold prices suggest a flight to safety; SPY may benefit from market reallocations.

How important is it?

Gold's rise amid turmoil reflects market fears, potentially driving SPY fluctuations as investors shift holdings.

Why Short Term?

Immediate market reactions to escalating political instability and economic uncertainty can influence SPY.

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