Key Moments
- Gold on COMEX last traded at $5,053 per ounce, up 1.4% after reclaiming $5,000.
- China extended its gold-buying streak to 15 months in January, lifting reserves to 74.19 million ounces.
- Spot silver last traded at $81.670 per ounce, up 6.1% after intraday swings as wide as 27.8%.
Gold Reclaims $5,000 on Dollar Weakness and Chinese Demand
Gold prices moved back above $5,000 per ounce on Monday. A softer US dollar and positive economic data supported the move. The weaker greenback made dollar-denominated commodities cheaper for overseas buyers, adding pressure on bullion.
During Asian trading, gold extended its gains above $5,000. Investors reacted to weekend data showing that the People’s Bank of China (PBOC) continued adding to its gold holdings for the 15th straight month in January.
China’s official gold reserves rose by 40,000 ounces last month, bringing total holdings to 74.19 million ounces. The monetary value of these reserves reached $369.58 billion.
On COMEX, gold last traded at $5,053 per ounce, up 1.4% from the previous close.
“Dovish US Federal Reserve expectations and concerns about the central bank’s independence pushed the US dollar lower for the second straight day, boosting gold,” said Haresh Menghani, editor at FXStreet.
Despite these supports, prices stayed below last week’s swing high after a sharp selloff. Both gold and silver tried to stabilize, but volatility remained high. Neither metal had yet overcome key resistance levels.
Analysts cited in Kitco.com warned that short-term downside risks remain. However, they said the long-term fundamentals for both metals are still intact.
Gold just hit a high near $5047, and the rebound trend is still going strong. As long as $4402 holds, this move looks healthy.
👀 What to watch next:
• A break above $5100 could open the door to $5200–$5300.Intraday ideas:
👉 Possible short-term buy around… pic.twitter.com/kIVGRxoWSI— XAUUSD SIGNALS (@FX_GoldSniper) February 9, 2026
Risk-On Sentiment Limits Safe-Haven Demand
Easing Middle East tensions improved risk sentiment, supporting equity gains. This shift reduced demand for traditional safe havens like gold, limiting its upside even as it reclaimed $5,000.
“Traders are reluctant to make aggressive bets and are waiting for key US macro data this week – the delayed Nonfarm Payrolls (NFP) report on Wednesday and consumer inflation figures on Friday,” Menghani said.
The upcoming labor-market and inflation data are expected to guide the next moves in both the dollar and gold, shaping Federal Reserve interest-rate expectations.
The CME Group’s FedWatch Tool shows market participants now price in at least four additional Fed rate cuts in 2026. Recent US data pointing to labor-market softness have reinforced this outlook.
Fed Independence Under Scrutiny
Concerns over the Federal Reserve’s autonomy grew after recent comments from the Trump administration. US President Donald Trump said he might take legal action against his Fed chair nominee, Kevin Warsh, if Warsh does not lower rates.
US Treasury Secretary Scott Bessent also said on Thursday that a criminal investigation into Warsh is possible if he refuses to implement rate cuts.
These developments have fueled debate over the central bank’s independence. They also put pressure on the dollar, indirectly supporting gold prices.
Silver Sees Large Swings Amid Rising Volatility
Silver displayed even larger price swings than gold. Trading has been marked by extreme volatility. Kitco reported that on Thursday, silver had an intraday range of 27.8%, far above its typical daily move of just over 2% in recent years.
Despite recent attempts to rally, silver failed to hold above $90 per ounce. After a sharp Friday selloff, spot silver last traded at $81.670 per ounce, up 6.1% on Monday.
| Metal | Recent Price | Daily Move | Notable Volatility |
|---|---|---|---|
| Gold (COMEX) | $5,053/oz | +1.4% | Below last week’s swing high after selloff |
| Silver (spot) | $81.670/oz | +6.1% | 27.8% intraday range on Thursday |
Barbara Lambrecht, a commodity analyst at Commerzbank, said market participants are still seeking guidance in the precious metals sector.
Price fluctuations are likely to remain high. In the medium term, precious metal prices appear well supported.
Michael Brown, senior market analyst at Pepperstone, noted that silver’s one-month implied volatility is currently higher than Bitcoin’s. He expects that pullbacks will attract buying interest, even as the metal consolidates within a broad trading range.
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