Gold cools but still hovers near record highs

Gold price today

• Gold prices hit record highs amid Fed rate cut hopes and geopolitical tensions
• Spot gold peaked at $4,648; domestic price reached Rs 1,43,590 per 10g on Jan 14
• Gold may hit $4,800–$5,000 in 12–18 months if rate cuts happen, analysts say.

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Gold prices cooled a bit but were still hovering near record highs amid geopolitical tensions and hopes of another rate cut by the US Federal Reserve. Comex gold was trading at $4,607.80 on January 16, a 0.34 percent decline from its previous close. The price of precious metal surged to an all-time high of $4,648 on January 14.

On MCX, the precious metal closed the January 15 session at Rs 1,43,120 for 10 grams after surging to its peak at Rs 1,43,333 during the evening trade. The price of gold peaked at Rs 1,43,590 on January 14.

The Augmont Bullion report, published on January 15, noted that gold pulled back from its record high of $4,650 after the US President Donald Trump refrained from announcing new tariffs on imports of critical minerals. Instead, Trump said the US would pursue negotiations with foreign nations to secure adequate supplies and quickly reduce supply-chain risks. That said, the White House left the door open to imposing import restrictions if talks fail to deliver timely results.

Safe-haven demand also cooled after Trump said he had been assured that executions of protesters in Iran had stopped, easing fears of an imminent US military response.

Markets continue to assess how aggressively the Federal Reserve may ease policy amid global uncertainty. November producer price inflation — both headline and core — came in softer than expected, reinforcing signals from the benign December consumer inflation data. Together, these readings have strengthened expectations that the Fed has room to deliver multiple rate cuts this year, the report stated.

Gold prices vary by purity.

Gold Price Today (Rs)

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.

Gold Price In Indian Cities (Rs)

Outlook: Will gold continue its momentum?

Ross Maxwell, Global Strategy Operations Lead, VT Markets, said, "Gold’s medium-term outlook remains constructive, supported by a combination of macro uncertainty, strong central-bank buying, and expectations of lower real interest rates. While gold has traditionally been viewed as a safe-haven asset, recent market behavior shows it is also trading as a momentum asset, responding sharply to shifts in interest-rate expectations, the US dollar, and equity market volatility."

He predicts in this environment, gold could potentially move towards the $4,800–$5,000 over the next 12–18 months, especially if rate cuts materialise and geopolitical risks persist.

"That said, with prices already near record highs, investors should be mindful of short-term corrections driven by profit-taking or temporary risk-on sentiment. For long-term investors, gold still makes sense as a portfolio hedge and diversifier, but a staggered or phased investment approach may be more prudent than aggressive lump-sum buying at current levels. Tactical investors may look to accumulate on pullbacks rather than chase rallies," he added.