Gold extends gains on lower oil and softer dollar

Published On 05 Aug, 2026
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Spot gold was up 1.3% at $4,127.04 per ounce, as of 0253 GMT. U.S. gold futures ​rose 0.8% to $4,184.40.

The U.S. dollar remained subdued, making greenback-priced metals more attractive ​to holders of other currencies.

Oil steadied after steep falls in the ⁠previous two sessions. Lower oil prices can ease inflation concerns that often feed expectations ​of higher interest rates.

Qatar said mediators were making progress in efforts to end the ​U.S.-Iran war, although Tehran has denied U.S. President Donald Trump’s assertion that talks are already underway.

“Gold’s relation with oil is still intact as oil prices have a tremendous impact on the global ​economy in terms of inflationary pressure. If we get a very clear roadmap to ​further de-escalation in tensions, gold prices could move higher,” said Kelvin Wong, a senior market analyst ‌at ⁠OANDA.

Traders are now pricing in a 59% probability of a Federal Reserve interest rate hike at the central bank’s September 15-16 meeting, down from 67% a day earlier.