Spot gold rose 0.3% to $5,184.43 per ounce in early trade, holding close to a more than three-week high touched earlier this week. US gold futures for April delivery, however, were down 0.5% at $5,199.20 an ounce, indicating some near-term profit booking after the recent run-up.
A softer US dollar lent support to bullion. The greenback eased after stronger-than-expected earnings from Nvidia improved broader risk sentiment, while markets awaited clarity on fresh US tariff measures.
A weaker dollar makes gold cheaper for holders of other currencies, typically boosting demand.
On the policy front, US Trade Representative Jamieson Greer said tariff rates for some countries could rise to 15% or higher from the newly imposed 10%, though no specific trading partners were named. At the same time, investors tracked ongoing US–Iran talks in Geneva aimed at addressing their long-running nuclear dispute, developments that have kept safe-haven demand intact.
Interest-rate expectations also remain central to gold’s trajectory. Markets are currently pricing in three 25-basis-point rate cuts by the Federal Reserve this year, according to CME’s FedWatch tool. Investors are awaiting weekly US jobless claims data for further signals on the Fed’s policy path.
Lower rates typically reduce the opportunity cost of holding non-yielding assets such as gold.
In the domestic market, Jateen Trivedi, VP Research Analyst – Commodity and Currency at LKP Securities, placed immediate support near ₹1.55 lakh per 10 grams and resistance around ₹1.64 lakh per 10 grams for gold, adding that the broader trend remains firm as long as key supports hold.
Silver extends gains after sharp rally
Spot silver gained 0.1% to $89.49 per ounce, after climbing to a three-week high in the previous session. The white metal has mirrored gold’s safe-haven appeal in recent sessions, while also drawing support from its industrial demand profile.
A recent outlook by Mumbai-based advisory firm 1 Finance highlighted that gold and silver delivered strong returns in 2025, supported by central bank buying, falling real yields and persistent supply deficits in silver.
However, the firm described its 2026 outlook for both metals as “neutral,” citing the possibility of slower investment demand in gold after last year’s rally and potential profit-taking in silver following its sharp surge.
The report noted that gold gained 72% in rupee terms in 2025, aided by central bank purchases of 863 metric tonnes and softer real yields, while silver surged 122% amid a multi-year supply deficit and rising demand from solar and electronics sectors. For 2026, it flagged structural support for both metals but pointed to risks from a stronger-than-expected dollar and moderation in investment flows.
–With Reuters inputs
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