Gold (GLD) on Solana

The Bank of England remains the world's preferred custodian for sovereign gold, with 57% of surveyed central banks storing reserves in London, followed by the New York Federal Reserve at 14%, according to a new analysis. Both locations are favored because gold held there sits within major settlement networks, allowing reserve managers to access dollar liquidity through swaps and generate income via leasing without requiring bars to be recertified at alternative facilities.

Central banks are increasingly spreading reserves across multiple jurisdictions as a geopolitical hedge — a trend Goldman Sachs links directly to the 2022 freezing of Russia's foreign reserves, which it expects to continue through 2026 and beyond. China is positioning itself as an emerging alternative custody center. In June 2026, 32 tonnes of monetary gold entered London in what Goldman Sachs characterized as a custody transfer rather than planned sales, with foreign official holdings at the Bank of England rising 98 tonnes that month. Central bank gold purchases also accelerated sharply, reaching 57 tonnes in June 2026 — more than three times the 17-tonne pre-2022 monthly average — with China identified as the largest single buyer at 40 tonnes.

Gold spot prices climbed to $4,399 per ounce — up 0.5% on the day — as a weakening U.S. Dollar Index, which fell 0.2% to 99.49, made the metal cheaper for foreign buyers. Fresh U.S. economic data reinforced the tailwind: consumer sentiment declined for the first time in three months and retail sales posted their steepest monthly contraction in more than a year, both readings that reduced expectations for further Federal Reserve rate increases. Central bank demand has remained a structural support, with institutions adding 244 tonnes in Q1 2026, the strongest quarterly pace since Q4 2024, while China alone purchased 8 tonnes in April.

The Middle East added a fresh layer of uncertainty after multiple vessels in the Strait of Hormuz were attacked last week, with some disabling satellite transponders to evade detection. Iran and Oman are in talks over a Hormuz management agreement — notably without U.S. participation — but the disruption has revived concerns over oil supply and the inflation path that would follow. ANZ, citing a sequence of persistent inflation, a Fed on hold, an energy-shock slowdown, and eventual monetary easing, forecasts gold reaching $5,200 per ounce by year-end.

With gold trading near historic highs around $4,437 per troy ounce, a comparison of the two dominant physical gold ETFs finds that the iShares Gold Trust (IAU) holds a meaningful edge for most buy-and-hold investors. IAU's 0.25% expense ratio undercuts State Street's SPDR Gold Shares (GLD) at 0.40%, and that 15-basis-point annual savings has compounded into slightly better long-term returns — a $1,000 investment five years ago would have grown to roughly $2,415 in IAU versus $2,398 in GLD, according to Yahoo Finance.

GLD still dominates by scale, holding $146 billion in assets against IAU's $64.2 billion, and its deeper daily trading volume makes it the preferred vehicle for institutional traders executing large positions. For everyday investors, however, the cost advantage of IAU is the deciding factor when both funds track the same underlying bullion price and carry near-identical volatility profiles (beta of 0.19 each).

Gold futures climbed to $4,383 per ounce on Tuesday for a third consecutive gain, reaching their strongest settlement since early June, as shifting Federal Reserve rate expectations lifted demand for the metal. An unexpected decline in July payrolls has moved rate markets closer to pricing a hold at the September 15–16 Fed meeting, reducing the opportunity cost of owning non-yielding gold. Analyst near-term targets cluster around $4,500, with more bullish scenarios pointing toward a retest of April–May highs near $4,800, supported by lower real yields, improved investor positioning, and persistent central-bank buying.

The outlook now hinges on two inflation readings: July CPI due Wednesday and PPI on Thursday. Capital Economics analyst Hamad Hussain cautioned that "a hotter-than-expected inflation print could justify the case for an interest rate hike at the Fed's next meeting and, as a result, put further downward pressure on gold prices." Rate markets remain divided between a 25-basis-point September hike and a hold, making this week's data the principal near-term swing factor for the metal.

Gold posted its strongest week in seven months, gaining approximately 7.4% as December futures broke through $4,400 — up from consolidation near $4,100. The move was triggered by a sharp macro reversal: the July jobs report showed the U.S. economy shed 23,000 positions against a consensus forecast for an 80,000 gain, while crude oil fell roughly 7% over the week, removing the inflationary pressure that had kept the Federal Reserve sounding hawkish since March. Together, those two developments collapsed expectations for a September rate hike and pushed the 2-year yield to a lower high against its 50-day moving average.

The macro shift is drawing fresh institutional interest. Central banks are purchasing gold at a pace 62% above year-ago levels, with China's central bank adding to stockpiles in Hong Kong as part of efforts to develop the city's bullion-trading infrastructure. CNBC Fast Money options trader Mike Khouw cited the reversal in rate expectations as his reasoning for adding to his gold position. ETF flows are beginning to turn positive but remain 2.1% below year-to-date levels, indicating retail participation has not yet caught up with the institutional move.

Barrick Mining and Newmont Corporation announced on August 10, 2026 that they have resolved all outstanding disputes related to their Nevada Gold Mines (NGM) joint venture. Under the agreement, Barrick will contribute its Fourmile development and Newmont will contribute its Fiberline and Mike development properties into the venture, with Newmont paying Barrick $1.95 billion to reflect the relative value of the assets contributed by each party. The deal also introduces enhanced governance provisions under a modernized joint venture agreement.

As part of the settlement, Newmont has consented to Barrick's proposed initial public offering of its North American gold assets, which had been contingent on resolving the longstanding joint venture disputes. Both companies stated that the arrangement positions them to maximize the value of Nevada Gold Mines and continue collaboration on safety, operational performance, and long-term growth of what is one of the world's largest gold-producing operations.

Bullish traders poured roughly $180 million into gold options on Friday, with nearly $100 million flowing into call options on the SPDR Gold Shares ETF (GLD) and over $80 million into calls on the VanEck Gold Miners ETF (GDX) — compared to just $9 million in puts across both. GLD options volume ran at twice its 30-day average while GDX quadrupled its typical daily activity, pointing to an unusual concentration of directional conviction that the metal's extended sell-off has run its course.

The surge came after weak jobs data stalled bond yield momentum, removing a key headwind for non-yielding assets like gold. The positioning broke a roughly two-month stretch of sideways price action following a 25% decline from gold's January peak, and the lopsided call-to-put ratio — approaching 20:1 — suggests that sophisticated traders are treating the yield pause as a macro all-clear for the metal.

UBS Chief Investment Officer Ulrike Hoffmann-Burchardi says gold's recent rally "has support," with the bank projecting prices will rise toward $5,000 per ounce in the first half of 2027. Gold was trading around $4,373 as of August 7, 2026, having gained more than 4% over five sessions, driven by strong Chinese investor buying and renewed ETF inflows.

UBS cites a weaker U.S. dollar outlook, lower real yields as the Fed resumes easing in 2027, and continued central bank accumulation as the key pillars under the rally. Near-term risks include a more hawkish Fed rate path or rising oil prices, but the bank sees those as headwinds rather than trend-reversers.