Gold Rates Today: The yellow metal continued its rally in the global market, staying well-above the $3,000 price mark, but witnessed pain at home. Gold saw another marginal drop on Tuesday, staying below the Rs 90K price mark in Delhi NCR.
This was largely owing to the strengthening of the dollar index and rising US treasury yields. Following a steady uptrend in recent weeks, the rupee ended its seven-session winning streak on Tuesday. The domestic currency fell over 11 paise to close at 85.72 against the US dollar. Higher dollar demand from importers and the greenback’s rebound against major currencies weighed heavily on the overall sentiment.
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Gold prices declined as the US dollar and treasury yields rose, driven by signs that President Donald Trump’s next round of tariffs could be less severe than anticipated, according to Saumil Gandhi, senior commodities analyst at HDFC Securities.
April 2 Tariff Deadline
Trump's April 2 tariff deadline has investors and traders on edge, as the US administration prepares to impose tariff rates on imports from all trade partners. The tariff move is part of Trump's larger plan to improve and strengthen the country's industrial sector.
However, uncertainty over the implementation and impact of these tariffs has left investors scrambling for clues on prospective market effects. For India, analysts’ reactions remain somewhat balanced as concerns over a full-blown trade war eased amid expectations of a more targeted tariff approach.
"Gold is trading near $3,020 per ounce as traders got relief from signs the next wave of US tariffs is shaping up as more focused, easing fears of an all-out trade war," said Kaynat Chainwala, AVP-commodity research at Kotak Securities.
Key Levels to Watch
On Wednesday, the rate of 24-carat gold (per 10 gram) slightly declined to Rs 89,430 in Delhi NCR, as per goodreturns website. Overall, the outlook for gold remains bullish.
"The ongoing uncertainty surrounding tariffs has kept demand for safe-haven assets elevated. In Comex, gold has a strong support level near $3,000, while in MCX, Rs 87,000 remains a crucial support zone. On the higher side, resistance is seen at $3,055 in Comex and Rs 88,500 in MCX. This week, key economic data, including the Core PCE Price Index and US GDP data, will be closely monitored for further market direction," said Jateen Trivedi, VP research analyst- commodity and currency, LKP Securities.
(With inputs from PTI)
