Gold rate today: Despite de-escalation in the US-Iran war, the MCX gold rate today opened on a gap-down note at ₹1,38,411 per 10 grams and touched a low of ₹1,36,762, logging around 2% intraday loss on Tuesday.
In the international market, the COMEX gold price today also opened with cuts in Asian trading. COMEX gold rate is currently around $4,375/oz, nearly 1.5% below the last closing price.
According to market experts, the gold price today is under pressure despite the de-escalation of the US-Iran war, as the market expects the US Fed to keep interest rates unchanged in the near term, given persistent inflation fears stemming from the destruction of oil infrastructure in the Middle East. The market is estimating that central banks worldwide will offload their gold reserves to contain inflation, which will hit prices amid oversupply.
Why is the gold price falling today?
On why the gold price is falling despite the de-escalation in the US-Iran war, Anuj Gupta, a SEBI-registered market expert, said, “Despite de-escalation in the US-Iran war, the US dollar is strong because inflation concerns are still there. This is due to the devastation of oil infrastructure in the Middle East. Despite the de-escalation in the Middle East crisis, recovery will take time, and the market believes that the US Federal Reserve and other Central Banks may not cut interest rates in the near term.”
Despite gold’s traditional safe-haven appeal, the current macro setup—strong dollar and higher yields is exerting downward pressure on prices. From a technical and macro perspective, downside levels of $4000 and $3600 remain open in the short term. However, if there is any meaningful de-escalation in geopolitical tensions and clarity on rate cuts, gold could witness a sharp recovery, with $5,000 not ruled out on the upside.
— Jateen Trivedi, VP Research — Commodity & Currency at LKP Securities
The SEBI-registered expert said that the US Fed and other central banks may offload their gold reserves, which they have accumulated to counter Trump’s tariffs.
Jateen Trivedi, VP Research — Commodity & Currency at LKP Securities, believes the decline is largely driven by rising inflation risks, which are altering expectations around the rate-cut cycle, with markets now pricing in a more prolonged, higher-interest-rate environment.
Additionally, persistent geopolitical tensions in Western Asia are keeping crude prices elevated, further reinforcing inflation concerns and weighing on gold sentiment.
“Despite gold’s traditional safe-haven appeal, the current macro setup—strong dollar and higher yields is exerting downward pressure on prices,” the LKP Securities expert said, adding, “From a technical and macro perspective, downside levels of $4000 and $3600 remain open in the short term. However, if there is any meaningful de-escalation in geopolitical tensions and clarity on rate cuts, gold could witness a sharp recovery, with $5,000 not ruled out on the upside.”
Outlook for MCX gold rate today
On the outlook for the MCX gold price today, Gupta said the MCX gold rate today is in a broader range of ₹1,28,000 to ₹1,40,000. On breaking above ₹1,40,000, we can expect the precious metal to touch ₹1,45,000 and ₹1,50,000 per 10 gm levels.
On the downside, if it breaks below the ₹1,28,000 level, we can expect gold prices in India to come close to the ₹1,20,000 per 10 gm level.
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
