Gold Price Jumps To Above $4,500: Is a Rally to $5,000 on the Horizon?

August 20, 2026

Announcements from the U.S. Treasury have significantly impacted the precious metals market. The Treasury announced that, starting September 9, it would double its liquidity repurchases of long-term Treasury bonds (10 to 30 years) to at least $4 billion per operation. The market interpreted this move as a targeted maneuver to cap long-term financing costs. The result was a noticeable decline in long-term interest rates: The yield on 30-year U.S. Treasuries plummeted by as much as 10 basis points to 5.18 percent, while the U.S. dollar fell to a three-month low.

Gold capitalized on this momentum to jump 4 percent (+$185.50) to $4,518.90 per ounce, with a daily high of $4,524.50. The other precious metals also rose sharply at times: Silver rose 5.34 percent to $66.57, palladium gained 4.18 percent, and platinum climbed 6.14 percent to $1,815. Industrial metals remained unfazed by the interest rate developments and edged lower.

Gold Makes a Huge Leap Following Announcement from the U.S. Treasury

Given the Federal Reserve’s stance, it is surprising that the markets reacted so eagerly to the Treasury Department’s intervention. The Fed minutes from the July meeting, released at the same time, painted a significantly more restrictive picture: Several policymakers considered further interest rate hikes necessary given persistent inflationary pressures. Traders, however, focused on the dovish signals from the Treasury; and the probability of a rate hike in September, as priced in by the market, fell from over 70 percent at the end of July to about 36 percent.

From a technical perspective, the focus for gold is now shifting to the $4,540 range (50-week average), where market observers such as James Dima (StoneX) are calling for a sustained weekly closing price. Above that, the next target lies at the 200-day moving average of $4,625. According to Saxo strategist Ole Hansen, a sustained break above $4,500 could pave the way toward $5,000 by year-end, provided support at $4,200 holds.

The end of the week promises to be exciting: In addition to technical confirmation regarding the gold price, a deadline is approaching in the U.S.-Canada tariff dispute, where potential tariff reductions on steel and aluminum are on the table. The very following week, the commodity markets’ attention will then turn to the first Jackson Hole speech by the new Fed Chairman, Kevin Warsh.

Source：https://goldinvest.de/en/goldpreis-springt-ueber-4-500-dollar-steht-die-5-000er-rallye-bevor