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Gold July 31, 2026

Gold Retreats as a Stronger Dollar Offsets Inflation and Policy Uncertainty

Gold bars and coins - Gold market July 31, 2026

International gold prices declined on Friday, July 31. Spot gold moved toward $4,080 per ounce, while COMEX gold futures also traded lower. A rebound in the US dollar was the principal short-term headwind.

However, disagreement within the Federal Reserve, inflation above target and geopolitical uncertainty continued to provide medium and long-term support.

Data convention: Prices represent an intraday snapshot at approximately 3:00 p.m. Malaysia and Beijing time, or UTC+8. European and US trading sessions were still in progress, so the figures are not final closing prices.

Market Overview

Market IndicatorIntraday PriceDaily ChangeDaily Range
Spot gold XAU/USDApproximately $4,078/oz-0.6%$4,072-$4,112
COMEX gold futures GCQ6$4,080.40/oz-0.48%$4,071.15-$4,110.50
COMEX silver futures$58.598/oz-0.71%Intraday data
US Dollar IndexApproximately 100.02+0.30%Intraday data
US 10-year Treasury yieldApproximately 4.649%Down around 1.4 bpsIntraday data
Gold-silver ratioApproximately 70.2Slightly higherEstimate

Spot prices were cross-checked using Gold API and Investing.com XAU/USD. Futures, dollar and Treasury data were obtained from Investing.com Gold Futures.

Global and Macro Context

The Fed Held Rates Steady, but Hawkish Dissent Increased

The Federal Reserve maintained its target range at 3.50%-3.75% on July 29. Nine officials supported the decision, while three preferred a 25-basis-point increase. Axios FOMC report

US Inflation Moderated

The June PCE price index increased 3.7% year over year, down from 4.1% in May. Cooling inflation was supportive for gold, but the reading remained substantially above the Fed's 2% objective. US Bureau of Economic Analysis

A Stronger Dollar Pressured Gold

The Dollar Index gained approximately 0.3% and moved back above 100. A stronger dollar makes gold more expensive for buyers using other currencies.

Treasury Yields Remained Elevated

The US 10-year yield traded near 4.65%. Although it declined slightly during the session, elevated yields increased the opportunity cost of holding non-yielding gold.

Gold Price Performance

Spot Gold

Spot gold traded near $4,078 per ounce, down approximately 0.6%. Prices briefly tested levels above $4,110 before retreating as the dollar strengthened and investors took profits.

Gold remained approximately 21% higher over 12 months but was around 27% below its January 2026 record near $5,595. XAU/USD historical data

COMEX Gold Futures

Front-month COMEX gold futures traded at $4,080.40, down $19.70 or 0.48%. The session range was $4,071.15-$4,110.50.

During July, futures traded within a broad range of approximately $3,960-$4,215, reflecting continued uncertainty surrounding rates, the dollar and geopolitical developments.

Silver and the Gold-Silver Ratio

Silver futures traded near $58.60 per ounce, down 0.71%. Silver underperformed gold as industrial-demand and broader risk factors affected its price.

The gold-silver ratio was approximately 70.2. A rising ratio generally indicates stronger defensive demand for gold or relative weakness in silver.

ETF and Institutional Flows

According to the World Gold Council, physically backed global gold ETFs recorded approximately $8.9 billion of outflows in June, while holdings declined by 74 tonnes to 4,047 tonnes.

Despite the June withdrawals, global gold ETFs retained approximately $8 billion of net inflows during the first half of 2026, with holdings increasing by 18 tonnes. World Gold Council ETF report

Gold-Related Assets to Watch

AssetCodeReason
Spot goldXAU/USDPrimary international gold-price benchmark
COMEX gold futuresGCQ6Institutional trading and price discovery
Spot silverXAG/USDPrecious-metals sentiment and industrial demand
SPDR Gold SharesGLDOne of the largest gold-backed ETFs
iShares Gold TrustIAULower-cost gold ETF exposure
VanEck Gold Miners ETFGDXGold-mining equities and operational leverage

Market Drivers

  • The Dollar Index moved back above 100.
  • The Fed held rates steady, but three officials supported a rate increase.
  • US PCE inflation moderated from 4.1% to 3.7%.
  • Treasury yields remained elevated.
  • Middle East developments and energy prices influenced inflation expectations.
  • Gold ETFs recorded short-term outflows, while first-half flows remained positive.

Outlook

Short-term technical reference areas at the reporting cutoff were:

MarketSupportResistance
Spot gold$4,050-$4,070$4,110-$4,120
Secondary levels$4,000-$4,030$4,150-$4,170
Silver$57.0-$57.5$59.0-$60.0

A recovery above $4,110-$4,120 could open the way toward $4,150. A break below $4,050 would bring the psychological $4,000 level back into focus.

The near-term outlook remained sensitive to the dollar, real Treasury yields and US economic data. Central-bank purchases, fiscal risks and geopolitical uncertainty offered longer-term support, while high interest rates and ETF outflows could limit rallies.

For market observation only; not investment advice.