What are the major factors that affect the price of gold?

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Inflation---
This is easy to understand. Once inflation occurs, the purchasing power of the currency decreases, and people's money becomes less valuable. Deposit interest rates cannot keep up with the rising prices caused by inflation. At this time, people consider how to preserve their assets, and the demand for gold as a hard currency will increase, thus breaking the conventional supply and demand relationship, and the price of gold will naturally rise.

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US Dollar
As the pricing currency of gold and an important foreign exchange reserve asset for various countries, the US dollar has a profound impact on the price of gold. The two have interchangeable attention, so generally when the US dollar index falls, gold prices rise, and when the US dollar index rises, gold prices fall, forming an inverse trend.

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International turmoil or wartime
Marx once said, "Gold and silver are naturally not currencies, but currencies are naturally gold and silver." This is naturally determined by the durability, rarity, portability, and divisibility of gold. As a hard currency, gold has the function of preserving value and hedging. During special periods, people's panic effect will cause gold to rise.

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Supply and demand relationship
Gold is increasingly being circulated as a commodity in the market. Since it is a commodity, a supply and demand relationship is naturally formed. When supply exceeds demand, the price rises, and when demand exceeds supply, the price falls.

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Oil prices
In the international market, the pricing currencies for crude oil and gold are both the US dollar. Once the US dollar rises or falls, it will lead to indirect mutual influence between crude oil and gold. That is, when the US dollar rises, both crude oil and gold will be affected and fall.