Gold Soars Above Rs 88,100, Investors Brace for Market Volatility Ahead

Gold Price Delhi: The price of the yellow metal has well-surpassed the Rs 88,100 price level. From geopolitical uncertainty to investors flocking to the safe-haven asset, a range of factors are pushing the price of Gold sky-high.

Analysts are expecting the prices of the commodity to remain volatile ahead as major global events pan out and keep investors on edge. Besides, global financial institutions including Goldman Sachs and UBS, have already raised their target price on the commodity as central banks around the world continue to buy Gold.

According to the GoodReturns website, the price of 24-carat gold experienced a marginal surge on Wednesday, with ten grams of the metal trading at Rs 87,110.

Earlier this week, the prices of the yellow metal took a breather owing to strong selling, however, Gold is gaining momentum back again. "Gold continued its positive trend as Comex gold held strong near $2,910, driven by persistent global uncertainty over tariffs. With banks and funds maintaining high allocations to the safe-haven asset, gold remains well-supported," said Jateen Trivedi, VP research analyst - commodity and currency, LKP Securities.

What will impact gold prices ahead?

This week is also packed with some major events that could sway investor sentiment, and eventually the price of the yellow metal. With the Federal Reserve making its 'no-rush' stance on rate cuts clear, all eyes will be on the upcoming meeting minutes release. "In MCX, prices are expected to stay volatile within the Rs 84,500-Rs 85,900 range. Key events like Trump’s speech on Wednesday, along with the Federal Reserve and RBI meeting minutes, will add to the market's volatility in the coming sessions.

Analysts believe gold will continue its upward trajectory, but the price surge is expected to be more pronounced in New York. According to a Bloomberg report, tariff worries have made the yellow commodity more costly in the US than in London.

This has reportedly pushed major banks, including JP Morgon and HSBC to transport gold from London to New York. The Bank of England has been flooded with gold withdrawal requests because of a big price difference between gold in both regions.