Gold costs hit report excessive for third straight day on MCX; spot gold tops $3,000 on safe-haven demand

Gold worth at this time: Sustaining its upward run for the third straight day, gold costs touched one other peak on the Multi Commodity Trade (MCX) in at this time’s buying and selling session, March 14. The April expiry contract opened increased at ₹87,781 per 10 grams and strengthened additional to hit a contemporary peak of ₹88,280, marking a 0.57% leap from the earlier closing worth.

In the meantime, spot gold costs surpassed $3,000 per ounce for the primary time earlier at this time, reaching a contemporary all-time excessive of $3,004. To date this yr, spot costs have already climbed 14.20% after ending the earlier calendar yr with a 27.24% achieve.

Indian inventory markets remained closed at this time in observance of Holi. Nonetheless, commodity markets opened for the night session at 5 PM. 

Gold costs have been hitting report highs this yr, largely pushed by issues over a possible international financial fallout stemming from Donald Trump’s commerce insurance policies, prompting buyers to flee from dangerous belongings towards safer havens, fueling a sustained rally in gold.

Moreover, gold accumulation by main central banks, significantly China, which prolonged its purchases for a fourth consecutive month in February, is supporting the metallic’s rally. Moreover, costs are drawing further assist from greenback weak point beneath 103.75 amid softer-than-expected CPI knowledge, which bolstered expectations of rate of interest cuts in each the U.S. and India.

Furthermore, fears are additionally mounting that the Trump administration may impose duties on gold imports, prompting among the largest banks within the U.S. to move gold bars from London to New York Metropolis on industrial flights, as per the latest studies. 

Amid the sustained rally, the yellow metallic can be surpassing analysts’ goal worth sooner than anticipated, prompting them to revise their projections increased. International brokerage agency Macquarie lately up to date its 2025 gold worth forecast and now expects the dear metallic to achieve $3,500 an oz by the third quarter.

It said that gold stays a key safe-haven asset, because the financial institution’s economists anticipate international financial development to say no to 0.3% by the third quarter of this yr.

Danger-off sentiment grows

Within the newest salvo, Trump threatened to impose 200 per cent tariffs on wine, champagne, and different alcoholic drinks from European Union international locations in retaliation towards the bloc’s deliberate levies on American-made whiskey and different merchandise.

The EU’s tariffs had been introduced in retaliation to Trump’s levies on metal and aluminum. The president mentioned he wouldn’t row again on the metals duties, nor on plans for sweeping reciprocal tariffs on international locations worldwide which can be resulting from kick in as quickly as April 2.

Analysts have warned that markets are being wracked by uncertainty amid fears the growing commerce conflict between main international economies may reignite inflation. Wall Road has been hammered, with the S&P 500 slipping right into a correction Thursday, having fallen greater than 10 per cent from its latest peak—a report excessive touched simply final month.

Analysts count on MCX gold worth to the touch ₹92,000

Ajay Kedia, Director of Kedia Advisory, expects gold costs on MCX to achieve ₹92,000 in 2025, pushed by report central financial institution purchases, a weakening U.S. greenback, and Federal Reserve fee cuts. A worldwide commerce conflict and inflation issues are additionally more likely to maintain bullish momentum.

Nonetheless, he famous that excessive volatility is anticipated, as a decision of commerce tensions, stronger financial knowledge, or a Fed pause on fee cuts may set off sharp corrections.

“Gold’s historic tendency to appropriate when all elements flip bullish means that sudden market shifts may trigger worth swings of ₹6,000- ₹7,000 per 10 grams earlier than reaching new highs,” he additional added.

Disclaimer: The views and suggestions given on this article are these of particular person analysts. These don’t characterize the views of Mint. We advise buyers to verify with licensed specialists earlier than taking any funding selections.