Gold hits record as Trump tariffs, Greenland tensions fuel safe-haven demand

Gold price today

• Gold reaches record highs due to geopolitical tensions and expected US Fed rate cuts
• MCX gold crosses Rs 1.5 lakh for first time, closing at Rs 1,50,560 per 10 grams
• Gold expected to remain volatile, trading between Rs 1,42,000 and Rs 1,55,000

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Gold prices continue to surge to record highs amid geopolitical tensions and expectations of another rate cut by the US Federal Reserve. Spot gold was trading at $4,831.70 on January 21 (2:43 am GMT), representing 1.38 percent change from the previous close. The price of precious metal surged to an all-time high of $4,847.70 and as low as 4,781 during the morning trade.

On MCX, the precious metal hit the Rs 1.5 lakh mark for the first time on Tuesday, and closed the session at an all-time peak of Rs 1,50,560 for 10 grams. The price of gold previously peaked at Rs 1,45,770 on January 19.

“Gold traded sharply higher, surging by nearly Rs 4,000 to cross the historic Rs 1,50,000 mark in MCX for the first time, driven by a weak rupee and rising global uncertainty. Gold is expected to remain volatile with a positive bias, trading in a broad range of Rs 1,42,000-Rs 1,55,000 in the coming days,"said Jateen Trivedi, VP Research Analyst - Commodity and Currency, LKP Securities.

Trump’s new tariffs, including a 10 percent EU levy, have revived trade worries and clouded the US-India trade deal, while renewed Greenland tensions have further lifted safe-haven demand.

Gold prices vary by purity.

Check out below to see the prices of gold based on its purity:

City-wise gold prices in India today

Gold rates across India’s major cities showed remarkable uniformity, with only marginal differences due to local taxes, jeweller margins, and logistics costs.

Outlook: Will gold continue its momentum?

The Augmont Bullion report, published on January 20, noted that gold’s rally started near $3,400 in mid-August and surged to $4,400 by mid-October. After a brief pullback, it has held the rising trendline, keeping the uptrend intact.  Citing Fibonacci extension, the report stated that the next resistance is seen at $4,750–$4,760 (78.6 percent, Rs 1,48,000), followed by $4,990-$5,000 (100 percent, Rs 1,55,000).

The gold boom began in mid-August, around $3,400, and reached $4,400 by mid-October. The prices then retraced and have been taking support from the uptrendline since.

Markets now turn their attention to the US PCE inflation data and the final Q3 GDP print for fresh direction. Even so, the broader fundamental backdrop continues to favour gold and silver bulls, keeping the case for further gains intact.