Gold Surges as ETF Inflows and Weak US Jobs Data Boost Prices
Gold | 2026-08-11 12:14:23
Gold has moved out of its July range. The World Gold Council sees the $ 4,493-per-ounce 200-day moving average as the next major technical hurdle, followed by resistance near $4,574, which, if broken, could signal a long-term uptrend in gold prices.
By Paul Ploumis
Gold Posts Strongest Weekly Rally in Six Years, Closes Near $4,336/oz
MONTREAL (Scrap Monster): Gold staged its strongest weekly rally in more than six years, with prices jumping 7.7% in the week ended August 7, according to the World Gold Council's latest Weekly Markets Monitor. The LBMA Gold Price PM ended the week at around $4,336 an ounce, its highest weekly close since early June.
- Gold's LBMA Price PM rose 7.7% in the week ended August 7 — its strongest weekly gain in over six years.
- Prices closed near $4,336 per ounce, the highest weekly finish since early June.
- The rally was driven by weaker US employment data, easing inflation concerns, and stronger investor demand.
- Chinese ETF investors added nearly 6 tonnes of gold in the first week of August.
- The People's Bank of China bought 20 tonnes of gold in July, its largest monthly purchase in almost three years.
- Global equities advanced, oil eased, and both the US dollar and Treasury yields edged lower during the week.
Why Gold Prices Surged
The rally was driven by a combination of weaker US employment data, easing concerns over inflation, and stronger investor demand. Gold-backed exchange-traded funds (ETFs) recorded broader inflows, while futures positioning and options markets also shifted in a more positive direction.
Central Bank and ETF Buying Add Momentum
Chinese investors added nearly 6 tonnes to gold ETFs during the first week of August. Separately, the People's Bank of China reported a 20-tonne gold purchase in July — its largest monthly purchase in almost three years.
Wider Market Moves
Global equity markets advanced during the week, while oil prices eased. US Treasury yields and the US dollar also edged lower.
What the Technical Levels Show
Gold has moved out of its July trading range. The World Gold Council sees the $4,493-per-ounce 200-day moving average as the next major technical hurdle, followed by resistance near $4,574, which, if broken, could signal a long-term uptrend in gold prices. Initial support is seen at $4,224 an ounce.
What Happens Next
Markets will now keep a close watch on US inflation data and signals from the US Federal Reserve about the future interest-rate path, the report said.
People Also Ask
How much did gold prices rise last week?
Gold's LBMA Price PM rose 7.7% in the week ended August 7, according to the World Gold Council's Weekly Markets Monitor.
What was gold's closing price for the week?
The LBMA Gold Price PM ended the week at around $4,336 per ounce, its highest weekly close since early June.
How much gold did China's central bank buy in July?
The People's Bank of China purchased 20 tonnes of gold in July, its largest monthly purchase in almost three years.
What is the next resistance level for gold?
The World Gold Council identifies the $4,493-per-ounce 200-day moving average as the next hurdle, followed by resistance near $4,574.
What is the current support level for gold?
Initial support is seen at $4,224 per ounce, according to the World Gold Council.
POLL
What is the biggest factor supporting the recent gold price rally?
Frequently Asked Questions
- How much did gold prices rise during the week ended August 7?
Gold prices jumped 7.7%, marking their strongest weekly rally in more than six years. The LBMA Gold Price PM ended the week at around $4,336 per ounce, its highest weekly close since early June.
- What factors drove the sharp increase in gold prices?
The rally was supported by weaker US employment data, easing inflation concerns and stronger investor demand. Gold-backed ETFs also recorded broader inflows, while futures and options positioning became more bullish. Lower US Treasury yields and a weaker dollar provided additional support.
- How significant was recent central bank and Chinese investor demand?
Demand from China was particularly notable. Chinese investors added nearly 6 tonnes to gold ETFs during the first week of August, while the People’s Bank of China purchased 20 tonnes in July, marking its largest monthly gold purchase in almost three years.