Gold Prices Soar Amid US Economic Uncertainty

Gold prices have surged to record levels, driven by investor concerns over US monetary policy and a global trade war. The rally reflects the precious metal's appeal as a safe haven amid economic uncertainty. Several record highs were seen in both domestic and international markets, fueled by various geopolitical factors.

Gold prices sustained an upward trend for the fourth consecutive session, surging by Rs 2,048 to reach a record high of Rs 1,00,000 per 10 grams. This rise is attributed to investors seeking safe havens amid US President Donald Trump's proposed overhaul of the Federal Reserve during ongoing global trade tensions.

On the Multi Commodity Exchange, gold futures for August delivery soared by Rs 2,048 or 2.1%, hitting a fresh peak of Rs 1,00,000 per 10 grams during mid-session trading. Later, it traded at Rs 99,790, marking an increase of Rs 1,838 or 1.88% with an open interest of 2,492 lots.

Internationally, gold futures leaped by USD 83.76 per ounce to set a new high of USD 3,509.06 per ounce. Analyst Saumil Gandhi from HDFC Securities links this surge to fears surrounding US monetary policy and the potential economic disruption due to the ongoing trade war, leading to substantial demand for the metal.

(With inputs from agencies.)