This Monday, gold once again hit a record high. How strong is this rally? It becomes clear when comparing assets—U.S. bank strategist Michael Hartnett provides startling data: in 2022, one ounce of gold could only buy 15 barrels of oil, but now this ratio has surpassed 70 barrels. The ebb and flow between safe-haven assets and commodities is evident.

What’s even more eye-catching is the concept of a "super cycle." If gold prices can rise more than 10% in 2026, gold will achieve four consecutive years of double-digit returns. Do you know what this means? Such a scenario has only occurred twice in the past hundred years.

When were these two times?

**First: The Great Changes of 1971-1974**

That era was explosive globally. Inflation soared, geopolitical conflicts intensified, and the U.S. was mired in the Vietnam War. The 1973 Yom Kippur War further ignited the Middle East. But the real turning point was August 1971—the Bretton Woods system collapsed, and the dollar was decoupled from gold. Gold was freed from fixed pricing constraints, and its true value was fully unleashed. The result? Gold prices skyrocketed from about $37 per ounce to $190 per ounce, more than quadrupling.

**Second: The Stagflation Storm of 1977-1980**

The Cold War intensified, and two oil crises hit in succession. The U.S. economy fell into a stagflation quagmire. Inflation broke through the 12% ceiling, and unemployment soared to 10.8%. Amid the flood of global liquidity, gold went completely wild—rising from $103 per ounce to $850 per ounce, nearly an 8-fold increase. It was truly a "mythical" rally.

**And now? It seems the script is repeating**

Geopolitical conflicts are still fermenting. Expectations of Fed rate cuts are boosting gold’s appeal, while the dollar is under pressure. Global debt is mounting, and the de-dollarization wave continues. Against this backdrop, gold’s role as the "ultimate credit hedge" is being reinforced.

Numbers speak for themselves. Since 2025, London spot gold has gained over 70% annually, reaching a high of $4,549.9 per ounce. Domestic Shanghai Gold futures have also surged by 62%. This half-century-long rally is far from over.