Gold prices in India shot up sharply on Tuesday, after Trump's fresh tariff threats sparked demand for safe haven assets like bullion. Both gold and silver prices at MCX climbed around 2% each. While 22-carat gold price outperformed the 24-carat gold price on May 6th, with an upside of Rs 2,500 in 10 grams. Not only that, the spot gold price touched its highest level in a week, reaching to 2-week high. Gold and silver prices were volatile last week.
10 grams gold price climbed sharply by Rs 2,730 in 24 carats to Rs 98,460, while 22-carat and 18-carat gold prices advanced by Rs 2,500 and Rs 2,040 to touch Rs 90,250 and Rs 73,840 per 10 grams respectively.
The price of the cheapest gold in India is Rs 9,846 per gram for 24-karat gold, Rs 9,025 per gram for 22-karat gold and Rs 7,384 per gram for 18-karat gold (also called 999 gold).
MCX Gold, Silver Prices:
Meanwhile, MCX gold price climbed by as high as Rs 1,720 to hit an intraday high of Rs 96369 per 10 grams. Currently, MCX gold with a June 2025 expiry, traded near its day's high to Rs 96290 per 10 grams, up by 1.7%.
Similarly, MCX silver price skyrocketed by more than 2.2% to trade at Rs 96488 per 1kg. MCX silver with July 2025 expiry, touched its intraday high of Rs 96775 per 1kg.
Spot Gold Price:
Gold rose above $3,360 per ounce on Tuesday, reaching its highest level in more than a week, as President Donald Trump's new tariff threat spurred demand for safe-haven assets. Trump on Sunday opened a new front in his trade war, saying movies produced outside the U.S. would face a 100% tariff. On Monday, he said he plans to unveil pharmaceutical tariffs over the next two weeks. Meanwhile, investors are now awaiting the Federal Reserve's policy decision and speeches by several Fed officials due this week. The U.S. central bank is expected to keep interest rates unchanged, despite continued pressure from President Trump urging Fed Chair Jerome Powell to lower rates, as per Trading Economics.
What Is Driving Gold Rates In India?
Rahul Kalantri, VP Commodities, Mehta Equities said, gold staged a remarkable comeback in Monday's trading, completely erasing last week's losses as investors positioned themselves ahead of the Federal Reserve's highly anticipated interest rate announcement while silver prices struggle to regain key support. Gold prices jumped over 2%, or more than $70, as a weakening U.S dollar and mix to negative economic data from the United States.
He added, traders awaited clarity on U.S.-China trade talks, adding to market tension, Israel approved a controversial plan to seize Gaza, amplifying global geopolitical risks and reinforcing gold's appeal as a safe-haven asset amid uncertainty.
Going ahead, the analyst said, "Gold has support at $3335-3310 while resistance at $3382-3398. Silver has support at $32.65-32.40 while resistance is at $33.30-33.55. In INR gold has support at Rs94,350-93,980 while resistance at Rs95,350-95,790. Sliver has support at Rs93,380-92,550 while resistance at Rs95,350-95,950."
Should You Buy Gold, Silver Prices?
Gold prices are expected to rise. One can buy at 95300 with a stop loss of 94900 for the target at 96000-96500, as per Nirmal Bang's technical report dated May 6th said.
For silver, this precious metal is expected to rise. Traders can buy at 95000 with a stop loss of 94000 for the target 96500-97300, it said.
Disclaimer: The write-up is just for information purposes, and is not a recommendation to buy, sell or hold. We have not done fundamental or technical analysis and have no opinion on article mentioned. Neither, the author nor Greynium Information Technologies should be held liable for any losses. Please consult a professional advisor.
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