Gold Price Falls by 1.5%, Silver Price Rises 1.6% After Over 3-Week Low

VoM News Desk | February 2, 2026 | 12:37 PM IST | Breaking News, Business, World |

extended falls on Monday, pressured by a firm dollar, as investors gauged US President Donald Trump’s Fed chair pick Kevin Warsh’s approach to interest rate cuts, while silver recovered from a more than three-week low hit on Friday.

FUNDAMENTALS

Spot gold was down 1.5% at $4,793.97 per ounce, as of 0046 GMT, after touching a more than one-week low on Friday. Bullion scaled a record high of $5,594.82 on Thursday.

US gold futures for February delivery climbed 1.6% to $4,818.10 per ounce.

Spot silver rose 1.6% to $85.98 an ounce. It hit a record high of $121.64 on Thursday.

The dollar clung onto its gains as investors weighed what a U.S. Federal Reserve under Warsh might look like, with his preference for a smaller balance sheet. [USD/]

A stronger dollar makes greenback-priced gold less affordable for holders of other currencies.

Warsh checks a long list of boxes for Trump as his pick to run the Fed, with longstanding political and social ties to the president, deep Wall Street connections and a well-tailored demeanour.

Gold Price Touches All-Time High at ₹1,46,500/10g as Silver Prices Surges to Record Levels

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But how deeply and quickly he will cut interest rates and how aggressively he will pursue his “regime change” at the Fed remain open questions.

US economic data on Friday showed that producer prices increased by the most in five months in December amid some pass-through from import tariffs, suggesting inflation could pick up in the months ahead and allow the Fed to keep rates steady for a while.

Gold Prices Rise

Investors still expect at least two rate cuts in 2026. [FEDWATCH]

Non-yielding bullion tends to perform better in low-interest-rate environments

Spot platinum lost 2% to $2,120.05 per ounce after hitting a record $2,918.80 on January 26, while palladium shed 0.9% to $1,682.59.

(Except for the headline, this story has not been edited by VoM News staff and is published from a syndicated feed.)