On July 30, 2026, the US precious metals market saw a new wave of bullish momentum. Fueled by a dovish policy signal from the Federal Reserve and escalating tensions in the Middle East, London Gold spot prices hit an intraday high of $2,428.7 per ounce, closing firmly above $2,425, up 1.2% for the day. Meanwhile, US-listed gold mining ADRs rallied across the board pre-market, as risk appetite tilted toward safe-haven assets.
Rate cut expectations drive gold price logic
The primary driver of this gold rally came from monetary policy macro variables. In its July rate decision released early this morning Beijing time, the Fed kept the benchmark rate unchanged but turned markedly dovish in its language, especially emphasizing “the labor market is showing marginal cooling” and stating it would “adjust policy pace as appropriate based on economic data.” The market immediately raised the probability of a September rate cut from 55% to 72%, dragging the dollar index below 102, and real rates plunged, acting as a catalyst for the repricing of the zero-yield asset.
Miner earnings: profitability resilience exceeds expectations
Behind the sector’s strength, heavyweight miners’ earnings proved a sentiment booster. Newmont Corp (NYSE: NEM), the world’s largest gold producer, released its Q2 results pre-market. Benefiting from an 18% year-on-year rise in gold prices and operational improvements at its mines, the company posted net profit of $1.13 billion for the quarter, up 35% year-on-year, far surpassing Wall Street consensus. On core operating metrics, all-in sustaining costs (AISC) were controlled at $1,150 per ounce, down $40 from a year earlier, highlighting earnings resilience in a high-gold-price environment. Newmont rose 3.8% pre-market, with Barrick Gold, Gold Fields, and other large miners’ ADRs also advancing, generally between 2% and 4%.
Fund inflows: Gold ETF holdings hit three-month high
Fund flows in physical gold and ETF markets further confirmed the bullish consensus. According to the World Gold Council (WGC) as of July 29, global gold ETFs recorded net inflows for the third consecutive week, with the US and Europe—the two core markets—contributing a combined $2.2 billion. The world’s largest gold ETF, SPDR Gold Trust (GLD), saw total holdings rise to 950.3 tonnes, the highest since late April 2026. Analysts noted that this level of holdings suggests institutional investors are increasingly hedging against medium-term inflation stickiness and fiat currency depreciation.
Asian investors accelerate entry
In Asia, gold ETF trading activity also picked up significantly in mainland China and Singapore. Precious metal ETFs listed on the Singapore Exchange (SGX), such as SPDR Gold Shares (SGX code: G10), saw average five-day trading volume jump over 40% from the previous month, indicating local investors are allocating through this channel. Notably, recent RMB exchange rate volatility and the People’s Bank of China’s six consecutive months of gold reserve additions have further stimulated high-net-worth individuals in Singapore and Southeast Asia to increase gold allocation.
Outlook: Institutions unanimously bullish, but watch for short-term overbought
Looking ahead, Goldman Sachs raised its 12-month gold price target from $2,400 to $2,500 per ounce in a recent report. The logic is that global central bank gold buying has fundamentally changed, with emerging markets’ systemic reserve accumulation trend irreversible. Combined with rising sovereign credit concerns from persistent US fiscal deficits, gold’s reserve currency substitution value is being repriced. However, UBS and other banks caution that the 14-day relative strength index (RSI) for gold has exceeded 75, entering technical overbought territory, posing profit-taking pressure in the near term. Investors should watch for pullback opportunities.
Overall, this late-July 2026 gold surge is not a single-event story but the convergence of rate cut cycle restart expectations, miner profitability improvement, and cautious asset allocation sentiment. For Singapore-based investors, whether through US gold mining ADRs or SGX-listed physical ETFs, gold remains an indispensable “ballast” asset in portfolios.
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