On July 26, 2026, the global precious metals market witnessed a historic moment—spot gold broke through the $3100/oz mark, hitting a high of $3120, setting a new record; spot silver followed suit, rising to $38.5, a near-decade high. Behind this surge in gold and silver, geopolitical risks, global central bank easing expectations, and industrial demand recovery created a triple resonance, driving investors to flood into safe-haven assets.

Gold: Driven by Safe-Haven Sentiment and Monetary Easing

As of 16:30 Beijing time, spot gold was at $3115.80/oz, up 1.8% on the day, with an intraday high of $3120. This marks the third consecutive year of significant gains for gold since 2024, with cumulative gains exceeding 60%. Analysts point out that the breakout above $3100 is primarily driven by the following factors:

  • Geopolitical tensions: According to Reuters, the Russia-Ukraine conflict has escalated again, with NATO and Russia intensifying military confrontations in the Black Sea, leading to a sharp rise in market risk aversion.
  • Central bank monetary easing: The Federal Reserve kept rates unchanged at its July meeting but hinted at a possible rate cut in September. The US dollar index fell below the 100 mark, hitting a new low since 2023.
  • Global central banks continue to increase gold holdings: According to data from the World Gold Council, global central bank gold purchases reached 280 tons in Q2 2026, up 45% year-on-year, with China, India, and Turkey being the main buyers.

Goldman Sachs analysts pointed out that gold has become the preferred asset for hedging inflation and geopolitical risks, and could reach $3300 by year-end. However, technical corrections should be noted in the short term, as the RSI indicator has entered overbought territory.

Silver: Industrial Demand Ignites Price Engine

Spot silver prices also strengthened, trading at $38.50/oz, up 2.3% on the day, the highest level since 2012. Silver's rally is not only due to its safe-haven appeal but also supported by strong industrial demand recovery:

  • Demand for silver from the solar photovoltaic industry continues to rise. In the first half of 2026, global solar installations grew 30% year-on-year, consuming about 120 million ounces of silver paste.
  • Electric vehicle and 5G infrastructure construction drive demand for electronic components, where silver is indispensable as a conductive material.
  • On the supply side, due to mine strikes and environmental restrictions, global silver production is expected to decline by 3% in 2026.

The latest report from the Silver Institute predicts that the global silver supply-demand deficit will expand to 150 million ounces in 2026, marking the fifth consecutive year of deficit, further boosting long-term price upside expectations.

Industry Insight: Gold-Silver Ratio Declines, Silver Catch-Up Rally Begins

Notably, the gold-silver ratio (gold price/silver price) has fallen from 85 at the end of 2025 to below 80, a new low since 2023. Historical experience shows that when the gold-silver ratio drops below 70, silver often begins a catch-up rally. Analysts say that if silver breaks above the $40 round number, it will confirm the start of a new bull market.

However, there are also risk factors in the market: if the Fed unexpectedly tightens or geopolitical tensions ease, it could trigger a pullback in gold and silver prices. Retail investors should be cautious about leveraged trading risks and are advised to allocate physical gold and silver or ETFs on pullbacks.

Trading Strategies and Operational Suggestions

For spot traders, the current market is highly volatile. Suggestions:

  • Short-term support: Gold focus on $3080 (previous high), Silver focus on $37.2 (20-day moving average).
  • Resistance: Gold at $3200, Silver at $40 psychological level.
  • Position management: Control single trade risk within 2% of total capital, set stop-loss.
  • Events to watch: The US GDP data and PCE price index released this week may affect rate cut expectations.

Medium-to-long-term investors can still hold; the global de-dollarization trend and central bank gold buying spree have not faded, and the bullish pattern for gold and silver is established.

Conclusion: Gold and Silver Bull Market Is in Full Swing

On July 26, 2026, spot gold and silver both hit record highs, marking a new phase for the precious metals market. Under the resonance of macroeconomic uncertainty and industrial demand, gold and silver prices still have upside potential. Investors should remain rational, seize trend opportunities, while being alert to short-term volatility from profit-taking.

Setibo Capital will continue to track the dynamics of the gold and silver market, providing you with first-hand market analysis and investment strategies.