Gold jumps 4.35% in biggest daily gain since February 2026
Gold rose 4.35% on 19 August, its biggest daily gain since February. The rally reflects traders pricing in US dollar debasement risk, not lower bond yields.
Gold Market
Deeper looks at the forces setting the gold price.
Gold rose 4.35% on 19 August, its biggest daily gain since February. The rally reflects traders pricing in US dollar debasement risk, not lower bond yields.
Veteran investor Rick Rule says the US dollar could lose 75% of its purchasing power in ten years, making a five-digit gold price plausible. He views gold as wealth insurance.
Gold is approaching $4,500 for the first time in over two months as the US dollar weakens. The US Treasury’s decision to double debt repurchases has weighed on the greenback, supporting bullion.
Real interest rates determine the opportunity cost of holding gold, making them a powerful driver of its price.
The US dollar and gold typically move in opposite directions due to pricing, opportunity cost, and safe-haven demand.
Gold pulls back after failing to break $4,435 resistance. Middle East tensions and Fed rate uncertainty weigh. Wednesday's Fed minutes could decide the next move.
Gold has broken through the $4,300 resistance level, according to technical analysis in the latest Gold SWOT report. The next major price threshold is now $4,500.
Gold dipped under $4,400 per ounce on Tuesday, reversing earlier gains as profit-taking and a broader metals correction outweighed support from diminished Fed tightening expectations.
Chinese retail gold investment totalled 107 tonnes in Q2 2026, down from Q1's record but still the third-highest Q2 since 2010. When adjusted for a 29% rise in the local gold price, it set a new Q2 record.