New Delhi- Gold prices remained near all-time highs on Tuesday, driven by safe-haven demand amid global economic uncertainties. In international markets, spot gold traded at $2,950.39 per ounce, just $6 below its record high of $2,956.15 per ounce. US gold futures inched up 0.1% to $2,967.40 per ounce.
In India, 24K gold rose to ₹87,880 per 10 grams, while 22K gold climbed to ₹80,560 per 10 grams, according to Upstox data. Analysts attribute gold’s rally to geopolitical risks, inflation concerns, and looming US tariff deadlines.
Key Market Drivers
- US Tariffs: Investors are closely monitoring the March 4 deadline for US tariffs on Mexican and Canadian imports, reaffirmed by former President Donald Trump.
- Federal Reserve Policy: The uncertainty surrounding the Fed’s rate path is also impacting gold. Investors await the US Personal Consumption Expenditures (PCE) report, the Fed’s preferred inflation gauge, due Friday.
- Geopolitical Tensions: Russian drone attacks on Ukraine and Israel-Hamas ceasefire negotiations are fueling demand for gold as a safe-haven asset.
Market Outlook
Colin Shah, MD of Kama Jewelry, expects gold to test $3,000 per ounce in the mid-term, citing ongoing economic volatility. Rahul Kalantri, VP Commodities at Mehta Equities, highlighted ETF inflows and safe-haven buying as key drivers.
Support & Resistance Levels
- Gold (USD terms): Immediate support at $2,927-$2,895 per ounce, resistance at $2,958-$2,975 per ounce.
- Gold (INR terms): Support at ₹85,850-₹85,620 per 10 grams, resistance at ₹86,510-₹86,740 per 10 grams.
With strong demand and ongoing global uncertainties, gold prices are expected to maintain their bullish momentum, making it an attractive asset for long-term investors.
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