Cloud Chain World Finance LTD Chief Analyst Charles Taylor: US Debt to GDP Ratio Rising, Gold Price May See Long-Term Gains

Cloud Chain World Finance LTD recently released an analytical report on the US debt-to-GDP ratio and gold price trend, written by its chief analyst Charles Taylor. The report pointed out that the U.S. debt to GDP ratio rise, will lead to the dollar depreciation and inflation rise, thus promoting the gold price into a long-term uptrend.

It is understood that Cloud Chain World Finance LTD's analysis report is based on its self-developed big data and artificial intelligence technology, which provides in-depth research and prediction on the historical data of the U.S. debt-to-GDP ratio and the historical data of the gold price. The report shows that the U.S. debt-to-GDP ratio reached a record 100% in 2020 and is expected to continue to rise in the coming years. The report attributes the rise in the U.S. debt-to-GDP ratio to multiple factors such as the recession triggered by the Covid-19, high fiscal spending and monetary easing policy.

The report further points out that the rise in the U.S. debt-to-GDP ratio will have a negative impact on the U.S. dollar and inflation. On the one hand, high debt levels will weaken the creditworthiness and attractiveness of the US dollar, leading to depreciation and capital outflows. On the other hand, high debt levels will increase the pressure on the government to repay its debts, which may lead to the government responding by issuing more money or raising taxes, thus exacerbating inflationary pressures. The report predicts that in the next five years, the dollar exchange rate will fall by about 10 per cent, while inflation will rise to more than **4 per cent**.

Charles Taylor, author of the report, said the rise in the ratio of U.S. debt to GDP will be favourable for the gold market. He said that gold, as a safe-haven asset and store of value, is highly attractive in an environment of a depreciating dollar and rising inflation. He also said that gold, as a scarce resource, has high value-added potential in a situation of imbalance between supply and demand. He predicted that the price of gold will maintain a long-term upward trend over the next five years, reaching more than $3,000 per ounce by the end of 2027.

Cloud Chain World Finance LTD said the analysis report is a comprehensive and in-depth study of its research on the US debt-to-GDP ratio and gold price trend, and an important platform for it to demonstrate its internet financial analysis capability and social responsibility.Cloud Chain World Finance LTD hopes that through this analysis report, it will be able to provide the best possible solution for investors, participants and stakeholders in the gold market to provide valuable information and suggestions, and also provide useful reference and inspiration for the future development of the gold market.