In India, 24-carat gold futures on the Multi Commodity Exchange (MCX) climbed 0.21% to reach Rs 86,875 per 10 grams.
Key Factors Driving the Surge:
- Geopolitical Instability:
- Concerns surrounding US President Donald Trump’s tariff policies are prompting investors to seek safe-haven assets like gold.
- Trade tensions, particularly tariffs imposed on Chinese, Mexican, and Canadian goods, have heightened worries about global economic stability.
- US Inflation Data:
- A lower-than-expected US inflation rate (2.8%) has increased speculation of potential interest rate cuts by the Federal Reserve.
- Lower interest rates typically boost gold demand.
- Investor Sentiment:
- Strong inflows into gold exchange-traded funds (ETFs) reflect growing bullish sentiment in the market.
- International Gold Price:
- Internationally gold prices have reached $2,945 per ounce on March 13.
Indian Gold Prices:
- According to the Indian Bullion Jewellers Association (IBJA), spot prices were:
- 24-carat: Rs 86,670 per 10 grams
- 22-carat: Rs 84,590 per 10 grams
- Other Carat pricing was also available.
