Gold is back in the limelight! The gold price today news is making headlines as bullion jumped over 2% in previous session and is expected to trade on higher side on Tuesday, crossing a historic high of $3,400 per ounce in the global market. In India, the price has soared to ₹97,350 per 10 grams of 24-carat gold, putting the ₹1 lakh milestone just 3.7% away.
This surge has reignited interest in gold as a preferred safe-haven asset, especially as global financial uncertainty deepens. From Trump’s bold statements to ongoing US-China trade tensions and a softening US dollar, multiple triggers are at play.
Trump’s ‘Golden Rule’ Triggers Fresh Bullion Buying
On April 20, former US President Donald Trump reignited the gold frenzy with his post on Truth Social: “The Golden Rule Of Negotiating And Success: He who has the gold makes the rules.”
This isn’t the first time Trump has backed gold. In a 2013 tweet, he made a similar statement. However, this time, the market’s reaction was louder. Traders and investors saw the post as an indirect endorsement, signaling more demand for physical gold as a strategic asset.
Interestingly, this narrative aligns with rising central bank gold reserves. Since 2013, Russia, China, and Turkey have aggressively increased their holdings. In 2023 alone, China held 2,235 tonnes, while India’s reserves stood at 876 tonnes. Clearly, the world is preparing for currency and trade realignments—and gold is the weapon of choice.
Global Trade Woes and Fed Uncertainty Support Gold Bulls
The current rally in gold isn’t just sentiment-driven—it has strong macro backing. Three major concerns are fuelling the uptrend:
- US-China tariff negotiations: Trade tensions have returned to the forefront, sparking investor anxiety. As talks drag on, traders are moving money from equities to gold.
- Threat to Fed Chairman Powell’s position: Political drama in the US is casting doubts on monetary policy stability.
- A weakening dollar: As the greenback slips, gold becomes cheaper for holders of other currencies, boosting global demand.
Gold’s correlation with equity market stress is well documented. During the 2008 crash, the S&P 500 dropped 57%, while gold surged 39%. Similar trends followed in 2020 during COVID-19 and even during the dot-com bust.
Now, with the S&P 500 correcting nearly 20% from recent highs and gold rising over 25% in the same period, history seems to be repeating itself.
Indian Gold Price Inches Towards ₹1 Lakh
In Indian markets, gold prices have seen a sharp 41% rise over the past 12 months. As of today, 10 grams of 24-carat gold is priced at ₹96,420. A 3.7% move could take it to ₹1 lakh—a psychologically important level for traders and investors alike.
Market watchers are now eyeing the $3,500 mark internationally, which translates roughly to ₹1,00,000 per 10 grams in India. However, this rally hasn’t come without caution.
Dr. Renisha Chainani, Head of Research at Augmont, advises restraint. “Gold has seen a parabolic rise. If it falls below $3,300, we may see a correction to around $3,100,” she notes. That means a potential dip to ₹90,000 is also on the cards if profit-booking intensifies.
Traders must monitor support and resistance levels closely. Gold is currently overbought on several technical indicators, and fresh entry at these levels could carry short-term risk.
What Should Traders Do Next?
For Indian investors and traders, gold remains a smart hedge—but not without risk. The long-term outlook still leans bullish, especially if global volatility continues. However, near-term pullbacks are possible, given how fast prices have moved.
Here’s how you can approach the gold trade:
- Short-term traders should trail stop-losses tightly around $3,300 or ₹94,000.
- Medium-term investors can accumulate on dips, especially if prices correct to ₹90,000 levels.
- Long-term holders should stay invested as global central banks continue to stockpile gold.
With equity markets showing signs of fatigue and global headlines getting more dramatic by the day, gold could continue shining in portfolios—but only if approached strategically.
Final Thoughts
Gold has once again proven its mettle as a store of value and safe haven. With global cues, political statements, and historical correlations all pointing toward further upside, this could be a golden era for bullion traders.
However, don’t let the glitter blind you. As always, trade with discipline, manage your risk, and stay updated on real-time cues. Whether it’s ₹90,000 or ₹1 lakh, it’s not just about the price—it’s about smart positioning.
Disclaimer: The views and investment insights provided here are based on publicly available information and do not constitute financial advice. Readers are advised to conduct their own research or consult certified financial experts before making investment decisions.
