Gold prices edged lower on Thursday, surrendering part of their early-week rally as a firmer U.S. dollar reduced investor demand for bullion ahead of closely watched U.S. labor market data.
By 09:15 ET (14:15 GMT), spot gold was down 0.8% at $4,422.34 per ounce, while U.S. gold futures slipped 0.7% to $4,431.09 per ounce, as traders took profits after the recent surge.
The U.S. dollar maintained gains from the previous two sessions, making gold more expensive for buyers using other currencies and adding pressure to prices.
Investors remained cautious ahead of Friday’s U.S. nonfarm payrolls report, a key release that could influence expectations for interest rate policy at the Federal Reserve. Weaker employment data could strengthen the case for rate cuts, potentially boosting gold’s appeal as a hedge against lower yields.
U.S.-Venezuela tensions limit downside
Despite the pullback, losses in gold were limited as ongoing tensions between the U.S. and Venezuela continued to support safe-haven demand.
On Wednesday, U.S. forces seized two oil tankers connected to Venezuelan crude exports, including one sailing under a Russian flag, in a move that marked a tougher enforcement of sanctions on Venezuelan oil shipments.
U.S. officials said the action was intended to disrupt sanctioned oil flows that help finance the Venezuelan government and bypass U.S. restrictions. The seizure of a tanker under a Russian flag drew criticism from Moscow, which reportedly described the move as “blatant piracy” and demanded the return of its nationals among the crew.
Gold could reach $5,000 in early 2026 – HSBC
Gold prices could climb to $5,000 an ounce in the first half of 2026, supported by geopolitical risks, rising fiscal pressures and steady investment demand, according to HSBC analyst James Steel.
While he expects volatile trading conditions and occasional sharp pullbacks, Steel believes underlying support for gold remains strong in the near term. Gold hit a record high of $4,548 per ounce at the end of December 2025, and momentum could carry prices higher into early 2026, driven by safe-haven flows, policy uncertainty and a weaker dollar.
“We expect prices to trade to or near $5,000/oz in 1H26. It is possible, however, that as we move through 2026, the rally may flag,” Steel wrote in a note.
Other metals also decline
Other precious and industrial metals moved lower on Thursday. Silver fell 4.7% to $73.935 per ounce, while platinum declined 2.6% to $2,208.55 per ounce.
Copper prices also retreated, with benchmark futures on the London Metal Exchange down 2% at $12,634.00 a ton, and U.S. copper futures trading 1.9% lower at $5.7518 a pound.
