Gold steady Monday, boosting on a weaker dollar and pressured by speculation that the Federal Reserve is now likely to keep interest rates unchanged in September.
The U.S. currency slid amid weaker U.S. retail sales data. The retreat made gold a cheaper investment to holders of other currencies. U.S. data on Friday showed declines in both consumer sentiment and retail sales. Together, they added to sentiment that a rate hike from the Fed isn’t imminent. The reports followed inflation data last week that came in at expectations. A hold in interest rates would be considered bullish for gold, making it a more attractive alternate investment.
December gold futures rose 0.9% last week to settle at $4,437.30 an ounce on Comex after the front-month contract gained 0.4% Friday. Bullion rose 1.7% in July, its first monthly increase since February, after sliding 12% in June and dropping 0.8% in May. It decreased 7% in the first half of 2026 after rallying 64% last year. The December contract is currently up $7.60 (+0.17%) an ounce to $4444.90 and the DG spot price is $4410.30.
Americans unexpectedly cut their retail spending by the most in more than a year in July, data from the Commerce Department showed Friday. Separately, University of Michigan’s consumer sentiment index showed that consumers have become more pessimistic about the economy.
Over 69% of the investors tracked by the CME FedWatch Tool now expect rates will remain unchanged at the Fed’s next policy meeting in September, with the rest betting on a 25 basis point increase. The Fed has kept interest rates unchanged this year after three previous rate cuts. The central bank held interest rates steady at 3.5% to 3.75% last month, but dissenters signaled growing support for a rate hike in 2026.
Speculation about higher rates has fluctuated along with reports on the Iran war, which has boosted many costs, particularly of oil prices, because of the shutdown of the Strait of Hormuz. The Fed closely watches both inflation and labor market data when setting monetary policy.
Front-month silver futures rallied 2.5% last week to settle at $65.11 an ounce on Comex after the September contract edged up 0.2% Friday. The most-active contract touched a record above $115 in January. Silver slid 3.6% in July after declining 21% in June and gaining 2.5% in May. It lost 15% in the first half of 2026 after rising 141% last year. The September contract is currently down $0.462 (+0.71%) an ounce to $65.570 and the DG spot price is $65.77.
Spot palladium dropped 4.2% last week to $1,327.50 an ounce but gained 0.1% Friday. Palladium added 5.8% last month after dropping 11% in June and losing 12% in May. It retreated 25% in the first half of 2026 after rising 74% last year. Currently, the DG spot price is up $6.50 an ounce to $1336.00.
Spot platinum rose 0.2% last week to $1,756.90 an ounce after increasing 1.6% Friday. Platinum gained 6.6% last month after tumbling 19% in June and dropping 3.2% in May. Platinum slid 23% in the first half of 2026 after increasing 122% in 2025. The DG spot price is currently up $22.90 an ounce to $1778.10.
Disclaimer: This editorial has been prepared by Dillon Gage Metals for information and thought-provoking purposes only and does not purport to predict or forecast actual results. This editorial opinion is not to be construed as investment advice or a recommendation regarding any particular security, commodity, or course of action. Opinions expressed herein cannot be attributable to Dillon Gage. Reasonable people may disagree about the events discussed or opinions expressed herein. In the event any of the assumptions used herein do not come to fruition, results are likely to vary substantially. It is not a solicitation or advice to make any exchange in commodities, securities, or other financial instruments. No part of this editorial may be reproduced in any manner, in whole or in part, without the prior written permission of Dillon Gage Metals. Dillon Gage Metals shall not have any liability for any damages of any kind whatsoever relating to this editorial. You should consult your advisers with respect to these areas. By posting this editorial, you acknowledge, understand, and accept this disclaimer.