Israeli military raid in central Gaza leaves 350000 civilians displaced, Netanyahu accused of ‘population cleansing’

1、 Israeli military expands central Gaza theater, with Deir ez Zor becoming a new battlefield

On the early morning of July 21st local time, the Israeli Defense Forces launched multiple rounds of airstrikes and shelling on Deir ez Zor in central Gaza, while issuing a mandatory evacuation order to the southwest of the area, requiring about 350000 Palestinians to relocate to the coastal Mawasi area. Israeli military spokesperson Adraj stated that this is the first ground military operation launched in Deir ez Zor since the outbreak of the conflict, targeting potential Hamas command centers and tunnel networks. This operation resulted in the death of at least 132 Palestinians, including 94 who were attacked and killed near aid distribution points, highlighting the direct impact of the conflict on civilians.

Deir ez Zor, as one of the few cities in Gaza that has not experienced ground warfare, has not been subjected to large-scale attacks due to its alleged detention of Israeli hostages. But on the 20th, Israeli Chief of General Staff Zamir stated that he has submitted a follow-up offensive plan to the government, aimed at forcing Hamas to collapse through sustained pressure. This action was criticized by the Office of the United Nations High Commissioner for Human Rights as “systematic destruction of the population structure of Gaza”. Special Rapporteur Albanese pointed out that the Israeli army is implementing “population cleansing” through the mode of “forced relocation+targeted clearance”.

2、 Netanyahu accused of using war to divert domestic crisis

Israeli Prime Minister Netanyahu emphasized at a cabinet meeting on July 21 that “military pressure is the only way to force Hamas to release hostages” and instructed a delegation to participate in the Doha ceasefire negotiations on July 25. However, its policy has been questioned as a diversion of the domestic judicial crisis – due to the postponement of the corruption case hearing to September, Netanyahu’s approval rating rose by 12% against the trend after the military operation, and the far right party “Jewish Power” announced its return to the ruling coalition.

What is even more controversial is that on the 21st, Defense Minister Katz threatened to “annex part of Gaza’s territory” and stated that a “humanitarian city” would be established in Rafa to concentrate all Gaza residents, which was criticized by international law expert Sfard as a “crime against humanity action plan”. According to data from Gaza’s health department, since the Israeli backed Gaza Humanitarian Foundation took over aid distribution on May 27th, 995 civilians have been attacked and killed by Israeli forces while receiving supplies, accounting for 41% of the total deaths during the same period.

3、 International community strongly condemns, geopolitical risks push up gold’s safe haven attributes

On the 21st, the European Commission announced the launch of a review of the human rights provisions of the EU Israel Association Agreement, proposing to impose tariffs on $84.1 billion worth of US goods as a countermeasure, exacerbating global trade frictions. The Arab League demands member states to implement an economic boycott against Israel, while French Foreign Minister Barro explicitly opposes the “annexation plan” and emphasizes adherence to the “two-state solution”. At the emergency meeting of the United Nations Security Council, China urged Israel to cease military actions, while Russia warned that the conflict could spill over into Syria and Lebanon.

Affected by geopolitical risks, the London spot gold price in the morning session of July 21 was reported at $3355.27 per ounce, up 0.19% from last Friday’s closing price, reaching a high of $3361.23 per ounce during the session; New York gold futures simultaneously climbed to $3361 per ounce, an increase of 0.08%. Standard Chartered Bank analyst Cooper pointed out that the escalation of the Gaza conflict and the implementation of US tariffs on August 1st have formed a “dual safe haven catalyst”, and the strategic value of gold continues to be highlighted in the context of “increasing global uncertainty”.

4、 Technical direction of the gold market

On a technical level, London gold spot prices fluctuated within the range of $3350-3370 per ounce, with hourly and 15 minute charts showing a converging triangle shape, breaking through the resistance level of 3361 or opening up upward space to $3377-3381 per ounce. The World Gold Council emphasizes that the global trend of central bank gold purchases (with China increasing its holdings to 2298.55 tons for 8 consecutive months) and the risk of stagflation (with a US inflation expectation of 3.6% over the next 5 years) constitute long-term support for gold.

The military game between NATO and Russia in Kaliningrad, the progress of the implementation of the Syrian ceasefire and the spillover risk of the Russia-Ukraine conflict may all be the catalyst for the gold price to break through the shock range. Investors need to be wary of technical pullback pressure, but in an environment of multiple uncertainties, the safe haven nature of gold remains irreplaceable.