Gold prices climb to 3-week high: Check today's rates
What's the story
Gold prices rose to a three-week high today, as renewed trade tensions are fueling safe-haven buying. Spot gold was up by 0.2% at $3,361.19 per ounce in today's trading after hitting its highest level since June 23. In India, the price of gold hovered near ₹99,880 per 10g mark for 24K purity.
Market response
Gold prices in India
Along with spot gold, US gold futures also witnessed a rise of 0.4% to hit $3,376 an ounce. In India, the prices for different purities of gold were ₹99,880 per 10g for 24K, ₹91,550 for 22K, and ₹74,910 for 18K gold. These numbers are according to data provided by Goodreturns.
Tariff impact
US tariffs disrupt markets
The recent surge in gold prices is largely due to renewed trade tensions. Over this weekend, US President Donald Trump threatened a 30% tariff on imports from the European Union and Mexico starting August 1. This threat has disrupted the markets already on edge from stalled negotiations, pushing investors back to gold as a safe-haven asset.
Price forecast
Analysts' views on gold's next move
Kelvin Wong, a Senior Market Analyst at OANDA, said the uncertainty over US tariffs is driving safe-haven demand back to gold. He claimed that if gold manages a daily close above $3,360 an ounce, prices could push toward $3,435 an ounce. Rahul Kalantri of Mehta Equities also noted that the fresh tariff shock has unsettled equity markets and lifted precious metals like gold and silver.
Domestic trends
Domestic rates may stay in ₹97,000-99,000 range
Colin Shah, MD of Kama Jewelry, noted that domestic gold prices remained in the ₹97,000-₹99,000 range last week due to a stronger US Dollar. He said this trend might hold for now but domestic demand could pick up with India's festive season around the corner. Aksha Kamboj of India Bullion and Jewellers Association also agreed that global risk worries are supporting gold prices.