Gold prices today
Spot gold: Up 0.2% at $3,008.08 per ounce (as of 0249 GMT).
US gold futures: Up 0.4% at $3,017.60 per ounce.
India gold rates
22-carat gold: ₹82,090 per 10 grams.
24-carat gold: ₹89,550 per 10 grams.
Why is gold rising?
Gold’s rally is fueled by multiple factors:
Weaker US dollar: The dollar index has slipped to a five-month low, making gold more attractive to international buyers.
Tariff concerns: US President Donald Trump has implemented new tariffs, including a 25% duty on steel and aluminum, with more tariffs on the way. This has increased safe-haven demand for gold.
Geopolitical tensions: An Israeli airstrike in Gaza, ongoing trade disputes, and fears of Middle East conflicts are boosting gold’s appeal.
Interest rate expectations: The US Federal Reserve’s economic projections this week could signal further economic slowdown and inflationary pressures, favoring gold as an inflation hedge.
Commenting on the development, Rahul Kalantri, VP Commodities, Mehta Equities, said, “Support for gold lies at $2,984–$2,960 per ounce, while resistance is at $3,024–$3,042 per ounce.”
Jateen Trivedi, VP Research Analyst – Commodity and Currency, LKP Securities, added, “The price range for gold in India has shifted to ₹87,250–₹88,650 per 10 grams amid sustained buying.”
Investment outlook
Gold has gained over 14% in 2024 and hit record highs 14 times since January. The metal remains a strong hedge against inflation and economic turmoil.
However, with gold at elevated levels, investors should watch key events like the US Fed’s policy meeting and global economic indicators before making new investments.
Gold’s bullish momentum is likely to continue as long as economic and geopolitical uncertainties persist. Investors should consider gradual accumulation while monitoring key resistance and support levels.
