Gold Soars 7% in Best Weekly Gain Since January, Fueling Bull Run Hopes

Gold prices surged 7% this week to record their best weekly gain in eight months. This marked gold's strongest weekly performance since January, when it reached a record high of $5,500 per ounce.

The rally came as crude oil prices fell, easing investor fears of a US Federal Reserve rate hike and reigniting demand for the yellow metal. Spot gold rose 2.3% on Friday to $4,336.02 per ounce, reaching its highest level since June 17.

Central bank buying has remained a key support for gold despite the sharp correction in prices. South Korea's central bank returned to the gold market after 13 years, purchasing 90 tonnes of gold at an average price of $1,629 an ounce between 2011 and 2013.

Billionaire hedge fund manager John Paulson suggests that the recent pullback may have created an opportunity for investors to gradually start accumulating gold. He believes the precious metal could be at the beginning of a long-term bull run, citing growing demand from central banks and the private sector.