New York, Feb 5, 2026, 06:11 EST — Premarket
Gold prices slipped on Thursday as the dollar hovered near a two-week peak and a wider market selloff spurred traders to trim positions. Spot gold dropped 0.9% to $4,917.61 an ounce by 07:54 GMT, after tumbling nearly 4% earlier. U.S. April gold futures edged down 0.3% to $4,936.30, while spot silver plunged 9.3% to $79.88. “Traders are more circumspect now on gold in light of recent extreme volatility,” said Tim Waterer, KCM chief trade analyst. 1
Volatility remains high. Gold hit a record near $5,600 on Jan. 29, then tumbled to $4,403 Monday. This sharp move has traders questioning if the market’s overheated. A Reuters poll of 30 analysts and traders shows a median 2026 average forecast of $4,746.50, with geopolitics and central-bank purchases still driving most of the momentum. “We are entering a period… being tested in ways not seen in a generation,” said David Russell, CEO of precious metals dealer GoldCore. 2
Thursday’s slide followed a drop in geopolitical risk premia. U.S.-China tensions cooled after a leaders’ call, and Washington and Tehran are set to meet in Oman on Friday, Reuters reported. “What we are witnessing today are some aftershocks,” said Tony Sycamore, analyst at IG, referencing the week’s wild swings. OCBC strategist Christopher Wong pointed to a “self-reinforcing feedback loop” amid thin liquidity. 3
On Comex, April gold futures slipped roughly 1.2% to $4,889.33, following a previous close at $4,950.80. Prices have fluctuated between $4,809.56 and $5,045.00 during the session. 4
Gold retreated after a volatile session Wednesday, losing earlier gains as the dollar gained strength. By 1:31 p.m. ET, spot gold slipped 0.3% to $4,924.89 an ounce, down from a peak rise of 3.1%. April futures settled up 0.3% at $4,950.80, following a 5.9% surge on Tuesday. ADP’s January jobs report showed 22,000 positions added, falling short of the 48,000 expected, fueling bets on at least two rate cuts in 2026. “The consolidation is not quite over yet,” noted David Meger, director of metals trading at High Ridge Futures. 5
Macro headwinds persisted. According to a Reuters global markets wrap on Wednesday, the dollar index — tracking six major currencies — rose to 97.66. Spot gold hovered near $4,943.79, showing little movement as traders digested Warsh’s nomination amid a general risk-off mood. The 10-year U.S. Treasury yield stood around 4.276%. 6
But the risk of downside remains if forced selling picks up again. On Monday, spot gold dropped 4.8% to $4,630.59 after an earlier plunge of nearly 10%, as higher margin requirements at CME Group—the collateral traders must put up—fueled further liquidation, Reuters reported. Deutsche Bank analyst Michael Hsueh said, “The conditions do not appear primed for a sustained reversal in gold prices,” adding that volatility could stick around. 7
The next major checkpoint for rate-cut pricing is set. The U.S. Bureau of Labor Statistics delayed its schedule following the funding lapse, moving the January Employment Situation report to Feb. 11 at 8:30 a.m. ET. The January CPI data will now come out on Feb. 13. 8
