Gold Sees First Monthly Gain Since February as Fed Holds Rates Steady in July 2026
Key Takeaways
- Gold posted a monthly price gain in July, breaking a five-month losing streak as the Fed paused on rate hikes.
- US Federal Reserve held rates at 5.25%–5.50% for a second straight month.
- J.P. Morgan’s year-end target for gold remains at US$6,000/oz, unchanged since May.
- The move has drawn fresh attention to physical gold and gold bars and coins demand globally.
Fed Pause Sparks Gold Rally
After five straight months of price declines, gold finally caught a bid in July. The catalyst? The US Federal Reserve kept its benchmark rate unchanged at 5.25%–5.50%, according to the Federal Reserve’s July policy statement. Traders had widely expected a hike, but the Fed stood pat amid mixed inflation signals.That decision triggered a knee-jerk rally in bullion markets. On July 31, spot gold closed at US$2,465/oz, up nearly 4% from the start of the month. I’ve noticed more chatter in Singapore’s gold dealer Telegram groups—retail interest picks up fast when rates pause.
For those who think interest rates always control gold, this month was a reminder that the link isn’t so straightforward. I actually broke down this myth in my recent piece. Sometimes macro mood swings matter more than the numbers themselves.
J.P. Morgan’s $6,000 Target: Still in Play
J.P. Morgan isn’t backing down from its eye-popping US$6,000 year-end call. The bank’s metals research desk first floated that target back in May, and it’s sticking to it after July’s rebound.To put that in perspective, here’s how J.P. Morgan’s target stacks up to recent gold closes:
| Date | Gold Price (US$/oz) | J.P. Morgan Year-End Target |
|---|---|---|
| Feb 29 | $2,512 | $6,000 |
| May 31 | $2,398 | $6,000 |
| Jul 31 | $2,465 | $6,000 |
There’s a lot of blue-sky optimism baked in, lah. But if you’re stacking gold in Singapore, this kind of forecast can’t help but get your attention. Personally, I try not to chase headlines or targets—my approach is slow and steady, like I’ve shared in my stacking guide and the range of gold bars and coins I stick to. For those curious about diversifying, don’t forget silver and platinum are also on offer locally—see silver, platinum, or check BullionStar’s latest listings at BullionStar.