Gold, silver prices hold steady with 'underlying bullish trend' in place

Gold prices steadied near record highs on Monday, with traders awaiting key US jobs data that could determine the next move for precious metals.

Gold futures (GC=F) hovered around $4,300 per ounce, less than $100 below October’s all-time high, while silver (SI=F) climbed toward $64, extending a strong year-end rally. Both metals have surged since the Federal Reserve’s third rate cut of 2025, reinforcing expectations for looser monetary policy in 2026.

The softer US dollar has also supported gold and silver, as lower yields and easing bets increase their appeal as safe-haven assets. The Dollar Index (DX-Y.NYB) dipped 0.02%.

“The underlying bullish trend remains intact,” said Rania Gule, senior market analyst at XS.com. “If jobs data point to a slowdown, it will likely strengthen gold’s uptrend. Even stronger data may trigger only a mild correction.”

UBS strategists echoed that optimism, projecting gold will reach $4,500 by June 2026, driven by lower real yields and continued dollar weakness. Meanwhile, Goldman Sachs maintained its “structurally bullish” outlook, forecasting $4,900 per ounce by the end of 2026, citing central bank demand and low investor positioning.

Gold’s momentum also reflects broader market shifts as President Trump prepares to nominate a new Fed Chair to replace Jerome Powell in May. The leading contenders, Kevin Hassett and Kevin Warsh, are both expected to align with Trump’s push for easier monetary conditions, potentially extending the rally.

Analysts say that even with short-term volatility tied to economic data, gold and silver remain among the strongest-performing assets heading into 2026, supported by expectations of prolonged Fed easing and renewed investor interest in safe havens.

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