New York, Feb 5, 2026, 13:32 (EST) — Regular session underway.
- Spot gold slipped 2.3% to $4,850.89 an ounce in U.S. trading.
- A stronger dollar and falling stocks sparked sell-offs in metals
- Traders are zeroing in on Friday’s U.S.-Iran talks and the postponed U.S. jobs report set for Feb. 11
Gold slipped on Thursday as investors sought liquidity amid a broad market selloff, dragging the metal down despite its safe-haven reputation. Spot gold, the benchmark price for immediate delivery, dropped 2.3% to $4,850.89 an ounce by 11:29 a.m. ET. April U.S. gold futures dipped 1.5% to $4,873.90. “Some people are facing margin issues and may be covering metal positions because of losses in equities. Fundamentally, nothing has changed,” said Bob Haberkorn, senior market strategist at RJO Futures. Reuters
The real story now is the churn. Gold is acting less like a steady hedge and more like an asset traders unload when brokers demand extra margin—the collateral backing leveraged positions. “Things become very frayed and dysfunctional with realized or implied volatility at these extreme levels,” said Chris Weston, head of research at Pepperstone. Reuters
Stocks slipped in New York while the dollar stayed steady, a combo that usually pressures dollar-priced metals. The dollar index ticked up 0.14% to 97.82, and U.S. 10-year yields dropped to 4.216% as money moved into bonds. Spot silver tumbled 12.81% to $76.76 an ounce during the session.
Wednesday’s session highlighted just how volatile the market remains. Gold pulled back, slipping as the dollar firmed up, reversing its earlier rebound this week. ADP’s private payrolls report came in below forecasts, while the Labor Department delayed the January jobs data until Feb. 11 due to a brief U.S. government shutdown. “We did see a turnaround in the dollar, and that strength put some pressure on gold,” noted David Meger, director of metals trading at High Ridge Futures. He added that after hitting record highs, the market’s consolidation phase “is not quite over yet.” Reuters
Forecasts keep climbing despite volatile price swings. A Reuters poll of analysts and traders now puts the median 2026 gold price at $4,746.50 an ounce, up from $4,275 in October. Rising geopolitical tensions and central bank buying are driving the boost. David Russell, CEO of precious metals dealer and broker GoldCore, said, “We are entering a period in which the legitimacy and resilience of the institutions and systems … are being tested in ways not seen in a generation.” Reuters
On Thursday, Macquarie bumped up its average gold price forecasts for Q1 and Q2 of 2026, as well as the full year, but noted a disconnect between market “extreme volatility” and underlying fundamentals. The bank raised its average Q1 2026 forecast to $4,590 an ounce, up from $4,300, and nudged the 2026 average to $4,323 from $4,225, per a Reuters factbox. Investing.com
Traders are beginning to frame gold differently amid rising volatility. Instead of a safe haven, gold is turning into a cash source when equities take a hit—especially for funds grappling with leverage or strict risk controls.
The risk for bulls is clear: if the dollar continues to climb and stocks remain pressured, forced selling could push gold down, even if the inflation hedge or geopolitical backdrop stays unchanged. A steadier stock market would offer relief, but gold hasn’t shown much patience.
Traders are now focused on Friday’s U.S.-Iran talks in Oman, looking for any changes in geopolitical risk sentiment. Attention also turns to the delayed U.S. January employment report, set for Feb. 11, which could offer hints on rate-cut expectations and the dollar’s direction.
