Gold price today: MCX prices over Rs 1,39,200 fueled by another Fed rate cut cheer, increased geopolitical tension

Gold price today

The spot price of gold continues its uptrend. The price of precious metal, which is bought and sold for immediate delivery, stood just above $4,498 an ounce on December 26 (8:12 am IST). That is up 0.43 percent from its previous close and 3.69 percent in a week. The spot price surged to its peak performance at Rs $4,521.70 on December 24.

The domestic futures price of gold on MCX closed the Thursday session at Rs 1,38,179 per 10 grams of 24-Carat purity. On Friday it crosses Rs 1,39,200. The trading in futures involves standardised contracts to buy and sell the precious metal at a predetermined price. Its price is up approximately 0.73 percent from their previous close. The gold futures price peaked on MCX at Rs 1,38,676 as recorded on December 24.

Meanwhile, the rupee stood at 89.563 against the U.S. dollar on Friday, representing a 0.10 percent decline in a day and a decline of 0.02 percent in a week.

Why are gold prices rising?

The Augmont Bullion report, published on December 24, noted that gold prices have risen to $4,550 (up 72% year-on-year), setting new records, fueled by anticipation of further Fed easing and increased geopolitical tensions.

"Gold’s breakout above $4,500/oz confirms strong momentum, with near-term support around $4,200-$4,300, and institutional forecasts pointing toward $4,900-$5,000 by late 2026 amid safe-haven demand and macro uncertainties," said Justin Khoo, Senior Market Analyst - APAC, VT Market.

Gold prices vary by purity. Check out below to see the prices of gold based on its purity

Source: Goodreturns

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.

Source: Goodreturns

Outlook: Will gold continue its momentum this week?

The Augmont report further stated that gold broke its previous high of $4400, after two months of consolidation between $3,935 and $4,400, so this rally is expected to extend further towards $4,575 (Rs 1,40,000) and $50,00 (Rs 1,50,000) in a few weeks.

Here's a rundown on what's driving gold's momentum, according to the Augmont report:

• Although third-quarter GDP grew at a healthy 4.3 percent annualised pace, lower consumer confidence in December and unchanged manufacturing output in November have contributed to the assumption that monetary policy may be softened in the coming months.
• The war between Israel and Iran, as well as rising tensions between the United States and Venezuela, have boosted safe-haven flows into gold. Furthermore, US Q3 GDP data fails to strengthen the US Dollar despite increased bets on two Fed rate cuts in 2026, which supports the non-yielding bullion.
• Trump stated that the next Fed chair will be someone who believes in "significantly lower interest rates." He said that applicants who disagreed with his ideas would be excluded from consideration for the Fed's top job. Investors and politicians are likely to be concerned about the Federal Reserve's independence following these comments.