Gold rates in India started this week with a sharp decline across carats. 100 grams of 24-carat gold crashed by Rs 5,400 on Monday, while 10 grams of gold dropped by Rs 540. The trend in gold prices is expected to be cautious due to the upcoming expiry of US trade tariffs, and global trade deals are in focus. India-US trade is also expected to continue growing in the future. MCX gold price could range from Rs 95,500 to Rs 97,500 per 10 grams.
"This week, the expiry of the U.S. trade tariff extension timeline keeps uncertainty around global trade deals in focus. Participants expect a possible extension, which is keeping gold under slight pressure. Additionally, the upcoming U.S. Fed meeting minutes may offer deeper insights into the central bank's last policy stance. Gold is likely to trade within a range of Rs 95,500 - Rs 97,500 in the near term," said Jateen Trivedi, VP Research Analyst - Commodity and Currency, LKP Securities.
Furthermore, Prithviraj Kothari, Managing Director of RiddiSiddhi Bullions Limited (RSBL) said, as the U.S. labour market continues to be strong and the economy created more jobs than anticipated last month, the price of gold has dropped below $3320 (~Rs 96500), fighting to regain its footing. President Trump stated on Sunday that a dozen or more letters could be sent this week, as the 90-day freeze on so-called reciprocal tariffs is set to expire this Wednesday. In the meantime, during a ceremony on July 4th, Trump signed his "one big, beautiful bill" into law.
Kothari added, "The detrimental U.S. policy, which is undermining investors' trust in secure U.S. assets, is a major factor in favour of gold. Gold prices are consolidating in a symmetrical triangle and waiting to give a breakout or breakdown on either side. $3300 (~Rs 96000) is strong support, while $3400(~Rs 98500) is strong resistance. Either side breach of these levels will provide 2-3% movement."
On July 7th, 100 grams of gold price dropped by Rs 5,400 to Rs 9,82,900 in 24 carat, while 10 grams price plunged by Rs 540 to Rs 98,290. Furthermore, 22 carat of 100 grams nosedived by Rs 5,000 to Rs 9,01,000 and lower by Rs 500 to Rs 90,100 in 10 grams.
18 carat gold prices stood at Rs 7,37,100 in 100 grams and at Rs 73,710 in 10 grams.
Following the latest decline, gold prices have erased their last week's gains, and are now down by 0.2% so far in July.
Silver Prices In India:
Unlike gold, silver prices were unchanged on July 7. 1Kg silver rate stood at Rs 1,10,000, while 100 grams and 10 grams silver prices stood at Rs 11,000 and Rs 1,100 respectively.
MCX Gold, Silver Prices:
After market hours of July 7th, MCX gold price stood at Rs 97,248 per 10 grams, down by Rs 22 or 0.02%. Furthermore, MCX silver price dipped by Rs 80 or 0.07% to close at Rs 1,08,241 per 1kg.
Spot Gold Price:
Yellow metal in India will likely follow the trend in Spot Gold that is trading lower to $3,330 per ounce in the early trade of Tuesday.
On Monday, President Donald Trump posted letters on Truth Social addressed to the leaders of 14 countries, threatening tariffs ranging from 25% to 40%. However, market fears were somewhat eased when Trump signed an executive order delaying the implementation of these tariffs, as well as the sweeping "reciprocal" tariffs on most trade partners-from July 9 to August 1-giving countries nearly four additional weeks to reach an agreement. Adding to the bearish sentiment, a robust US jobs report released last week alleviated concerns about a slowing US economy and diminished expectations for a Federal Reserve rate cut in July. Investors are now awaiting the release of the June FOMC meeting minutes, scheduled for Wednesday, for further insights into the Fed's policy outlook, as per Trading Economics.
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