Escape the dollar, embrace gold! European asset management giant Amundi: Gold price rally is far from over.

Europe's largest asset management company, Amundi SA, stated that as tensions deepen between the United States and other countries, many investors are reducing their holdings of dollar assets and turning to gold, which will continue to support the rise in gold prices. Vincent Mortier, Chief Investment Officer of the institution, said in an interview that the huge fiscal deficit in the United States, combined with market uncertainty about the future monetary policy of the Federal Reserve, further fueled the shift of funds from the dollar to gold. He said, "Over the past two and a half years, we have consistently allocated to gold assets, and I believe this strategy can still be continued. In the long term, gold is a high-quality tool for hedging currency devaluation and an effective way to maintain purchasing power." On Tuesday, gold prices saw a seven-day consecutive rise, reaching above $5000 per ounce on Monday for the first time. In the past 12 months, international gold prices have surged by 85%, while the US dollar index has fallen by 8.5% during the same period. Mortier pointed out that current gold demand mainly comes from central banks and sovereign wealth funds, among other institutional investors. According to data from the Amundi official website, the institution manages assets totaling around 2.3 trillion euros (equivalent to 2.7 trillion US dollars). Mortier believes that the constant pressure from the Trump administration on traditional allies, including the recent dispute with European countries over Greenland, as well as ongoing tariff threats, will eventually have consequences. "It is not sustainable to constantly intimidate one's allies," he said. "A new alliance is gradually forming. Europe's stance on the Greenland issue is intriguing, indicating that under external pressure, all parties are exploring new ways to respond." Canadian Prime Minister Mark Carney bluntly called for action from medium-sized strong countries at the World Economic Forum in Davos last week, and warned of the need to be vigilant against coercion from major powers. Mortier stated that there are currently no significant reasons to allocate to other major currency assets. "At present, investors may not want to buy euros and the yen is under pressure, so gold becomes the optimal alternative," he said. "We can also clearly see this trend from the allocation behavior of our clients."