Gold Price Today 1 Feb 2026 retreats as dollar firms after a volatile record run

Gold Price Today is lower in early U.S. trading on Sunday, Feb. 1, 2026, after a sharp end-of-week pullback that followed a run to fresh highs in late January. Spot prices are still elevated on a 12-month view, but the latest dip highlights how sensitive bullion has become to swings in the U.S. dollar, interest-rate expectations, and rapid profit-taking after big moves.

As of 9:35 a.m. ET, spot gold was trading around the high-$4,800s to low-$4,900s per troy ounce, with the day’s trading range wide by recent standards. The tone is cautious heading into a heavy February calendar of central-bank signals and macro data that can quickly shift real-rate expectations.

Gold Price Today: spot levels and key benchmarks

Here’s a snapshot of widely watched benchmarks during the morning window (all figures approximate, based on live market quotations around 9:30–9:40 a.m. ET):

Gold’s late-January surge pushed prices well above levels seen earlier in 2025, but the past two sessions have been dominated by fast, two-way flows. When gold moves hundreds of dollars in a short span, margin dynamics and hedge adjustments can amplify the next move in either direction.

Why prices are sliding after the late-January surge

Three forces are doing most of the work in the current retreat:

A stronger dollar. Gold is priced in dollars globally, so a firmer greenback tends to make bullion more expensive for non-U.S. buyers and can cap demand at the margin. The dollar’s upswing into the weekend coincided with a broader risk reset in several markets.

Profit-taking after extreme gains. A rapid climb invites short-term traders to lock in profits, especially when price action starts to look “stretched” on technical indicators. That can trigger stop-losses and algorithmic selling that accelerates a drop even without a single new headline.

Interest-rate and real-yield sensitivity. Gold often struggles when real yields (inflation-adjusted rates) rise or are expected to stay higher. Even small shifts in rate expectations can matter when positioning is crowded and volatility is elevated.

The net result: gold is still behaving like a macro barometer, but the day-to-day tape is being driven as much by positioning and cross-market moves as by long-term fundamentals.

What to watch next in February

The next two weeks are likely to set the tone for whether the current dip becomes a deeper correction or a reset before another attempt higher.

Central-bank signals. Any guidance that points to tighter financial conditions for longer can weigh on gold, while hints of easing or softer growth can support it.

U.S. inflation and jobs data. Markets will focus on whether inflation is cooling fast enough to justify lower rates later in 2026. A hotter print can push yields higher and pressure gold; a cooler print can do the opposite.

Physical demand and premiums. When prices spike, retail demand can slow due to sticker shock, but volatility can also bring in buyers seeking a hedge. Watch for changes in physical-market premiums and dealer activity, which can diverge from futures-led moves.

Volatility is rising, and that changes how traders behave

This market is not moving in tidy, incremental steps. Wide intraday ranges mean traders often reduce leverage, tighten risk limits, and demand larger “buffers” before adding exposure. That can lead to sudden air pockets when liquidity thins.

For long-term holders, the key question is whether the current pullback reflects a change in macro direction or simply the market “digesting” a dramatic run. For short-term participants, the focus is usually on support and resistance zones, the dollar’s momentum, and whether real rates are rising or falling on the day.

The bottom line for buyers and holders

Gold remains historically expensive after its powerful late-January rally, but the latest slide is a reminder that “safe haven” does not mean “straight line.” If the dollar stays firm and yields grind higher, gold can continue to retrace. If growth worries intensify or rates appear poised to fall later in the year, bullion can stabilize quickly.

Either way, the near-term story is volatility—big enough to reshape sentiment from one session to the next.

Sources consulted: JM Bullion, Investing.com, MarketWatch, Trading Economics