Gold Soars on China Demand as Bitcoin Stagnates Amid S&P 500 Rally

Gold prices have reached their highest levels in six weeks, driven by strong demand from China. The precious metal gained 2.8% on Wednesday to hit $4,213 per ounce, its highest price since June 22.

The increase in gold prices is largely attributed to Chinese investors, who have been buying gold-backed exchange-traded funds (ETFs) in large quantities. According to Bloomberg, China's gold ETF inflows have seen 14 consecutive days of inflows, with the year-to-date inflows reaching 40 billion yuan ($5.6 billion), the second-best H1 performance on record.

Meanwhile, Bitcoin prices have remained stagnant, failing to keep pace with the broader risk-asset optimism seen in equities. The S&P 500 index has been building on its all-time highs, reaching 7,793 on Wednesday.