Gold prices rose marginally by 0.29% to close at ₹97,270 yesterday. The small increase came despite trade deals and strong US jobs data limiting how much prices could rise.
The US has made progress on several trade deals and delayed some tariffs until August 1. However, the new tariffs set to kick in on July 9 have kept investors cautious. And while there is a short window of time (three weeks) for negotiations, concerns about inflation from the tariffs have dampened hopes that the US Federal Reserve will cut interest rates any time soon. Investors now expect only two small rate cuts by the end of the year,
Politically, peace talks between Hamas and Israel in Qatar have failed to materialise, keeping global tensions high, which has supported gold prices somewhat.
Meanwhile, central banks have shown a steady interest in gold. China’s gold reserves rose slightly to 73.90 million fine troy ounces by the end of June. Kazakhstan, Turkey and Poland added 19 tons of gold in May.
