Gold Selloff: CPM Group Sees Opportunity at $4,210 Target

CPM Group has issued a sell recommendation for gold, citing an initial target price of $4,210 and a stop loss at $4,480. This recommendation is based on the October 2026 Comex contract, with prices currently at $4,367.90 as of September 1, 2026.

The advisory firm notes that gold has retreated from its recent peak of $4,718 reached on August 25, and prices have tested an intraday low of $4,340.60 before recovering. CPM attributes the pullback to profit-taking after August's rapid rise from the $4,000, $4,150 range seen in July.

The sell-off is seen as a short-term reaction to Federal Reserve Board Chairman's speech last Friday, and CPM expects it to persist for a couple more days before prices resume their upward trajectory. While some suggest that rising expectations of interest rate hikes due to inflation above target could weigh on gold, CPM argues that the upward pressure on rates reflects global financial, economic, and political problems rather than economic strength.