Gold Prices Continue Rally on August 7, 2026, Despite Weaker-Than-Expected July Jobs Report

Gold (GC=F) December futures opened at $4,298.30 per troy ounce on Friday, August 7, 2026, flat compared to Thursday's closing price. By 8:45 a.m. ET, the gold price had risen to $4,411.70.

Gold continued its rally even after a disappointing July jobs report. The Bureau of Labor Statistics reported that 23,000 jobs were lost in July — a significant miss compared to the 80,000 new jobs economists had expected. A contraction of this scale suggests a cooling labor market, which historically increases gold's appeal as a safe-haven asset, as investors anticipate the Fed may hold off on further rate increases to avoid compounding economic weakness. A strong jobs report would have reduced the likelihood of a Fed rate increase next month.

Meanwhile, a lack of meaningful progress toward permanent peace in the Middle East continues to affect energy costs, keeping inflation concerns front and center for the Fed as it prepares for its September meeting. Elevated energy prices feed directly into consumer inflation, which in turn reinforces gold's traditional role as an inflation hedge. It remains unclear which of these market forces — weakening employment or persistent inflation pressures — will ultimately control the direction of gold prices, but for now, the precious metal has been rising to levels last seen in mid-June. Investors will be watching the Fed's September meeting and upcoming inflation prints for clearer signals on rate policy.

Current Price of Gold

The opening price of gold futures on Friday, August 7, 2026, was flat compared to Thursday's opening price. Here is a look at how the gold price has changed over the past week, month, and year:

• One week ago: +4.8%
• One month ago: +4.2%
• One year ago: +27%

On January 29, gold's one-year gain stood at 95.6%.

How Much Gold Should You Own?

A gold investment can add stability and inflation protection to a portfolio. However, it can also dilute gains when stock prices are rising quickly. Finding the right balance between gold's diversification benefits and profiting from growth potential in other assets can be challenging.

Experts are divided on the correct approach. Below, five professionals explain their recommended gold allocations, which range from 0% to 20%.

No Gold: Trade-off Is Too High

Robert R. Johnson, professor at Creighton University's Heider College of Business, does not advocate gold investing. In his words: "While having a small position in precious metals may dampen portfolio volatility in the short-run, the tradeoff between slightly dampened volatility and the lost long-term return is certainly not a prudent one, particularly for Gen Z/millennials with long investing time horizons."

2% to 5% Allocation, Depending on the Situation

Brett Elliott, director of content and SEO at American Precious Metals Exchange (APMEX), recommends setting an allocation that aligns with individual investing goals. Growth-oriented investors may be comfortable with an allocation of 10% or 15%, according to Elliott, while income investors will prefer a smaller position because gold provides no yield. A 2% to 5% gold allocation can provide some resiliency without an excessive drag on income potential.

5% to 8% Gold Allocation

Blake McLaughlin, executive vice president at Axcap Ventures, said historical data support a gold allocation of 5% to 8%. "Gold may not offer the outsized return potential of private investments, but the metal holds a set of attributes that are increasingly hard to ignore," according to McLaughlin. Those attributes include the metal's resilience amid economic uncertainty and geopolitical unrest.

5% to 15% Gold Allocation

Thomas Winmill, portfolio manager at Midas Funds, believes most investors will benefit from a long-term gold allocation of 5% to 15%. Winmill specifically advocates investing in gold mining companies through a mutual fund.

Risk tolerance and the current mix of financial versus hard assets can guide investors to an appropriate allocation, according to Winmill:

• Risk tolerance: Keep the allocation percentage low if you tend to panic in volatile cycles.
• Financial vs. hard assets: Financial assets are stocks and bonds. Hard assets include tangible items like real estate, gold, collectibles, classic cars, and equipment. If you have no home equity and your wealth is primarily in financial assets, you can set your gold allocation higher. Conversely, if your home is paid for and more valuable than your stock portfolio, gold investing may not be necessary.

20% Gold Allocation

Vince Stanzione, CEO and founder at First Information, recommends a 20% gold allocation, specifically in physical gold or a gold ETF. Stanzione argues for higher exposure to gold as a wealth protection strategy. As he states: "Gold keeps with inflation and gold retains its purchasing power," while paper currencies are devaluing around the world.