Gold price today: Gold prices fell below the Rs 99,000 per 10 gm mark on Thursday as yellow metal saw profit booking even as war between Iran and Isreal intensified. Rates also fell after US Federal Reserve kept interest rates unchanged.
On MCX, gold prices fell by Rs 804 to Rs 98,733 in the afternoon session today against the previous close of Rs 99,537.
On June 16, gold rates on MCX hit a record high of Rs 1,01,078. Tthe yellow metal has lost 2.31% since then .
Gold prices had risen due to the ongoing Iran-Israel war. This situation is causing significant ripples across the commodities market and broader economic metrics. Gold remains a preferred asset for investors seeking stability amid global uncertainties, highlighting its importance as a hedge against geopolitical risks. The precious metal’s performance underscores its pivotal role in providing security for investors during times of instability.
In the international market, gold rates slipped by $17.37 to $3,351 per ounce against the previous close of $3368.74 per ounce.
Manav Modi, Senior Analyst, Commodity Research at Motilal Oswal Financial Services said, “Gold prices slipped after the US Federal Reserve kept interest rates unchanged and signaled a more gradual path for rate cuts. Fed Chair Powell noted the central bank expects an increase in inflation in the coming months amidst tariffs and other factors, reinforcing a cautious policy stance.”
Meanwhile, Citi has revised its short-term and long-term gold price forecasts, predicting a fall to under $3,000 per ounce by late 2025 or early 2026. This adjustment is attributed to a fall in investment demand and an improving global growth outlook. In its most recent note, Citi reduced its 0-3 month and 6-12 month gold price targets from $3,500 to $3,300 and from $3,000 to $2,800 per ounce, respectively. Gold prices are expected to consolidate between $3,100-$3,500 per ounce in the third quarter, with a downward trend anticipated thereafter due to changes in geopolitical risks, U.S. tariff policies, and budget concerns.
Aksha Kamboj, Vice President, India Bullion and Jewellers Association and Executive Chairperson, Aspect Global Ventures said, “Gold prices remain confined within a narrow, downward trend despite the US Federal Reserve hinting at two potential rate cuts in 2025. This suggests a lack of momentum at higher price levels, even amid ongoing economic concerns and persistent instability in the Middle East. With the Fed’s announcement now behind us, market attention has shifted back to geopolitical tensions, particularly in the Middle East. Any progress toward a ceasefire could further weigh on bullion prices. Conversely, there appear to be limited catalysts for a strong upward move unless there is a significant escalation in geopolitical risks.”
Rahul Kalantri, VP Commodities, Mehta Equities said, “Gold has support at $3345-3320 while resistance is at $3400-3422. In INR terms, gold has support at Rs98,950-98,690 while resistance is at Rs 99,950-1,00,240.”
Jateen Trivedi, VP Research Analyst – Commodity and Currency, LKP Securities said, “Market participants are closely watching three key macro triggers:
1. The US Fed’s interest rate decision
2. Geopolitical tensions between Iran and Israel
3. Progress in global trade negotiations
These factors are expected to drive volatility and set the directional tone for gold. The current trading range for gold is seen between Rs 98,500 to Rs 1,00,500 in the near term.”