Spot gold rose 0.3% to $ 2,898.27 per ounce 0501 gmt.
US Gold Futures received 0.1% to trade at $ 2,902.50 an ounce.
The dollar index remained near a four -month low, making gold cheaper for foreign buyers. The benchmark US 10-year-old treasury yields also declined, leading to an increase in gold appeal.
“US dollars and treasury yields are low, helping gold catch support. The overall uptrend is intact, taking the opposite side.”
Indian gold prices
In India, 24-carat gold prices fell âı 330 per 10 grams to âı 87,490.
Meanwhile, the 22-carat gold rate increased from âı 300 to 80,200 per 10 grams.
Market driver
Gold is trading within a range of $ 2,830 to $ 2,960 an ounce compared to last month.
Investors are now awaiting data from the US Consumer Price Index (CPI), which is to assess the stance of the fed on interest rates on Wednesday.
Political uncertainties have also added to the strength of gold. Geophysical stress is high with reports of attacks in Ukraine and Russia. Meanwhile, US President Donald Trump remains concerned after the tariffs on imports from Mexico and Canada, later gave some exemption for some limited periods.
“Gold prices support high geopolitical stresses. The market is cautious before the US inflation report,” said AVP-Cocodity Research, Kotak Securities, AVP-Cocadity Research, Connant Chenwala said.
The CME Fedwatch tool indicates 97% probability that Fed will keep the rates unchanged in the March 19 meeting.
By June 18, the rate of rate cut has increased to 93.7%.
Gold is considered a defense against inflation and political risks. However, if inflation forces the fed to maintain high rates, it can weigh on the metal appeal in the long run.
,With Reuters input
first published: March 11, 2025 12:26 pm First
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