Gold Rate Today: Trade Deal Between US and China Slows Demand for Gold
Gold Rate Today: Gold prices stayed mostly unchanged in India today as investor focus shifted towards the stock market. This happened after the United States and China signed a major trade agreement, reducing import taxes and easing global tensions.
Also Read: GIFT Nifty futures slip 160 pts as inflation data, may be a negative opening in market
MCX Gold Sees Small Rise
On the Multi Commodity Exchange (MCX), the gold futures for June slightly rose by 0.06% to ₹92,955 per 10 grams. This minor increase came after gold had earlier dropped almost 4% to ₹92,901 per 10 grams.
Global Gold Prices Hit Weekly Low
Globally, gold prices reached a one-week low on Monday and stayed near that level on Tuesday. The reduced demand for gold is due to improved global trade relations.
US and China Cut Tariffs
In Geneva, after two days of negotiations, the US and China agreed to cut tariffs for the next 90 days. The US brought down import duties on Chinese goods from 145% to 30%, while China lowered tariffs on American products from 125% to 10%. This has improved investor mood, moving funds away from gold and into stocks.
Global Uncertainty Now Reduced
Gold prices often rise when there is global uncertainty. However, with the US-China and US-UK trade deals calming global markets, that uncertainty has started to disappear. Even tensions between India and Pakistan have cooled, reducing the demand for gold as a safe investment.
Expert View on Market Shift
Commodity expert Manoj Kumar Jain from Prithvifinmart said, “Gold and silver prices dropped sharply this week as trade agreements lifted market confidence. Also, a rise in the US dollar index and bond yields added to the pressure on gold prices.”
Market Eyes Inflation Data
Investors are now watching for the US Consumer Price Index (CPI) data, expected later today. This report will influence decisions on future interest rate changes by the US Federal Reserve. India’s CPI data is also due today and could impact domestic markets.
Also Read: Indian Markets Rise After Ceasefire and Trade Talk Boost: Will Nifty Hit New Highs?
.