Gold futures traded higher on MCX during Asian hours as investors moved towards safe-haven assets amid renewed uncertainty around US trade policy and global economic signals.
On MCX, gold futures were trading around Rs 1,60,636, up Rs 667 or 0.42% in early trade.
The gains follow fresh confusion over US tariff policy after the Supreme Court struck down a swathe of President Donald Trump’s measures last week. While the United States began collecting a temporary 10% global import tariff, the White House indicated that efforts are underway to increase it to 15%, adding to volatility in global markets.
Global bullion movement
In the international market, spot gold rose 0.7% to $5,181.95 per ounce, while US gold futures for April delivery gained 0.5% to $5,200.40.
Gold had ended the previous session down more than 1% after investors booked profits following a three-week high. However, renewed trade policy uncertainty has revived buying interest.
Market analysts noted that heightened US fiscal and trade concerns, along with geopolitical tensions, continue to support bullion prices.
Fed stance and rate cut expectations
Two US Federal Reserve officials signaled no immediate change in interest rate policy. Despite this, markets are pricing in three 25-basis-point rate cuts this year, according to CME’s FedWatch Tool.
Lower rate expectations typically support gold, as the metal does not yield interest and becomes relatively more attractive in a softer rate environment.
Technical levels and geopolitical factors
Technical analysis suggests gold may find support around $5,140 per ounce, with immediate resistance near $5,205 and further resistance in the $5,221 to $5,244 range.
Geopolitical developments remain in focus as Iran and the US prepare for a third round of nuclear talks in Geneva, adding another layer of uncertainty to global markets.
The combination of tariff ambiguity, monetary policy expectations and geopolitical risk is helping sustain gold’s upward momentum in today’s trade.
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