Gold Finds a Floor: Prices Rise Again Above $5,100

Last Updated on February 4, 2026 by Deon

Gold is showing again why it’s the ultimate “comeback kid” of the commodities world. Not long after precious metals hit record highs, the yellow metal’s price plummeted. But it didn’t take long for buyers to come back in.

Futures climbed 3.4% to $5,102.90 in early trading in New York after jumping a whopping 6% last session. For a lot of people, that recent price drop was not so much a warning sign as a “flash sale” they couldn’t resist.

Big Players Are Still Buying

There’s no question that gyrating prices make for good headlines, but the basics of why people buy gold remain unchanged. The market is buoyed by a “perfect storm” of positive contributors:

Central bank appetite: More physical bullion keeps getting stored in government banks around the world.

ETFs: Gold ETF demand is strong with investors seeking stability in their portfolios.

Global Uncertainty: Continued geopolitical risk and economic uncertainty are maintaining gold’s “safe haven” appeal.

Is $5,400 the Next Stop?

And the fortune tellers at Goldman Sachs are watching for signs in the clouds. Previously the analysts were predicting a price of $5,400 by December — now they see “meaningful upside risk” to that figure. In plain English? It could go even higher.

The bank had observed that private investors were diversifying their wealth — not just in the form of physical bars and coins but also through complex financial tools like call options. These types of trades also can lead to much sharper, faster price movements — which is why we’re seeing the volatility we are today.

The Bottom Line

The recent drop was a correction, not a crash. With central banks, private investors and global instability all moving in the same direction, gold’s journey to still more records may be far from over.