Gold Prices Rally as Safe-Haven Demand Surges Amid Trade War Concerns

Gold prices in India surged on February 7, 2025, with 24K gold reaching ₹86,693 per 10 grams, driven by safe-haven demand amid trade war concerns and a weakening US dollar. The MCX gold market saw gains ahead of the RBI’s monetary policy decision, with analysts predicting further price increases. Meanwhile, silver prices remained stable in India, while international markets showed mixed trends in precious metals.

CONTENTS:

• Today’s Gold and Silver Rates (February 7, 2025)
• MCX Gold Prices Rise Ahead of RBI Monetary Policy Decision; Experts Outline Key Levels
• Gold Prices in India on February 6: 24K Gold Surges by ₹2,700 per 100 Grams; Silver Remains Stable

Gold Prices Rally as Safe-Haven Demand Surges Amid Trade War Concerns

Today’s Gold and Silver Rates (February 7, 2025)

Gold Prices Rally as Safe-Haven Demand Surges :  The price of 24-carat gold has increased to ₹86,693 per 10 grams in Delhi, marking a rise of ₹270. Meanwhile, 22-carat gold is priced at ₹7,948.3 per gram, up by ₹250.

Gold Price Trends

• Past Week: 24-carat gold has declined by 1.02%
• Past Month: Gold prices have dropped by 7.47%

Gold and Silver Prices Across Major Cities: Gold Prices Rally as Safe-Haven Demand Surges

Delhi

• Gold (24-carat): ₹86,693 per 10 grams
• Silver: ₹102,500 per kg

Chennai

• Gold (24-carat): ₹86,541 per 10 grams
• Silver: ₹109,600 per kg

Mumbai

• Gold (24-carat): ₹86,547 per 10 grams
• Silver: ₹101,800 per kg

Kolkata

• Gold (24-carat): ₹86,545 per 10 grams
• Silver: ₹103,300 per kg

MCX Futures Market

• Gold (June 2025): ₹85,482 per 10 grams (slight increase of 0.258%)
• Silver (July 2025): ₹99,500 per kg (up by 0.439%)

Factors Affecting Gold Prices

Gold and silver prices fluctuate due to multiple factors, including:

• Global demand
• Currency exchange rates
• Interest rates
• Government policies
• Economic conditions and US dollar strength

MCX Gold Prices Rise Ahead of RBI Monetary Policy Decision; Experts Outline Key Levels

Gold Prices Rally as Safe-Haven Demand Surges Gold prices witnessed an uptick in early trade on Friday, just before the Reserve Bank of India’s (RBI) monetary policy announcement. Market participants anticipate a 25 basis points (bps) rate cut by the central bank. RBI Governor Sanjay Malhotra is set to reveal the Monetary Policy Committee’s (MPC) decision at 10:00 AM on February 7.

The rise in gold prices was also supported by positive global market trends. MCX Gold for April expiry was trading 0.26% higher at ₹84,661 per 10 grams around 9:10 AM.

According to Reuters, international gold prices remained near record highs, poised for a sixth consecutive weekly gain, amid concerns over trade conflicts.

Investors are closely watching the RBI’s inflation and economic growth outlook. Additionally, the US employment report, expected later today, is likely to influence market sentiment.

Gold Prices Surge in 2025

Gold Prices Rally as Safe-Haven Demand Surges Gold has witnessed significant gains this year, with spot prices rising by 11% so far. Factors such as the weakening rupee, fears of an escalating trade war between the US and its trading partners, and signs of an economic slowdown have contributed to the price increase.

Historically, gold tends to appreciate during periods of economic and geopolitical instability as well as currency depreciation.

Further Upside Potential for Gold

Gold Prices Rally as Safe-Haven Demand Surges Market analysts predict that gold prices may continue their upward trajectory, driven by concerns over US trade policies under President Donald Trump. Leading financial institutions—including Citi, UBS, and Goldman Sachs—anticipate that gold could surpass the $3,000 per ounce mark.

Goldman Sachs has indicated that heightened US policy uncertainty and increased hedging demand could push prices beyond its initial $3,000 target. Meanwhile, Citi has raised its near-term (0-3 months) gold price forecast from $2,800 to $3,000 per ounce. UBS has also adjusted its 12-month price target to $3,000 per ounce.

Key Price Levels for Gold and Silver

Gold Prices Rally as Safe-Haven Demand Surges Manoj Kumar Jain of Prithvifinmart Commodity Research expects gold and silver prices to be volatile due to trade war concerns and the upcoming US jobs report.

• Gold price levels (International Market):
  • Support: $2,858–2,844
  • Resistance: $2,888–2,904

• Silver price levels (International Market):
  • Support: $32.40–32.10
  • Resistance: $32.88–33.20

In the domestic market, MCX Gold has support at ₹84,040–83,700 and resistance at ₹84,800–85,100. Meanwhile, silver prices have support at ₹94,750–94,000 and resistance at ₹96,200–97,000.

Rahul Kalantri, VP of Commodities at Mehta Equities, also outlined key price levels:

• Gold: Support at $2,845–2,824; resistance at $2,887–2,902
• Silver: Support at $31.98–31.78; resistance at $32.48–32.69

For INR-based trading, Kalantri finds support for gold at ₹84,170–83,860 and resistance at ₹84,880–85,240. Silver has support at ₹95,050–94,350 and resistance at ₹96,350–97,250.

Investors are advised to closely monitor key global economic indicators and central bank policies, which could further influence gold price movements.

Gold Prices in India on February 6: 24K Gold Surges by ₹2,700 per 100 Grams; Silver Remains Stable

Gold Market Sees Strong Rally Amid Trade War Concerns

The domestic gold market witnessed a sharp rally on Thursday, February 6, driven by a weakening US dollar and escalating trade tensions. Investors turned to gold as a safe-haven asset following the release of US economic data, which contributed to bullish sentiment in the bullion market.

Gold Prices in India Today (February 6, 2025)

• 22K Gold: ₹7,930 per gram
• 24K Gold: ₹8,651 per gram

The price of 22K gold for 100 grams increased to ₹7,93,000, up by ₹2,500 from the previous day’s ₹7,90,500. Similarly, the price for 10 grams rose to ₹79,300, marking a gain of ₹250 from Wednesday’s rate of ₹79,050.

For 24K gold, the price per 100 grams climbed ₹2,700 in a single day, reaching ₹8,65,100, compared to ₹8,62,400 on Wednesday. The 10-gram rate also increased to ₹86,510, up by ₹270 from ₹86,240.

The price of 18K gold also saw an upward trend, with 100 grams rising by ₹2,000 to ₹6,48,800, while the 10-gram price increased by ₹200 to ₹64,880.

Spot Gold and Precious Metals Outlook

As per Reuters, US gold futures declined 0.2% to $2,888.30, while spot gold remained steady at $2,870.16 per ounce at 03:06 GMT. This comes after reaching an all-time high of $2,882.16 in the previous session.

Other precious metals saw mixed movements:

• Palladium: Up 0.5% to $994.17
• Platinum: Up 0.4% to $983.30
• Spot Silver: Down 0.2% to $32.26 per ounce

Silver Prices in India

Despite global market fluctuations, silver prices in India remained stable:

• Per gram: ₹99.50
• Per kilogram: ₹99,500

MCX Gold Outlook

Analysts from Way2Wealth Brokers Pvt. Ltd. noted that MCX Gold has maintained a six-day upward streak, forming a bullish pattern on the daily chart. If it surpasses ₹84,600, it could move toward ₹85,000–85,300 levels. Conversely, support levels are at ₹84,250–84,000, indicating potential volatility.

Market Predictions for Gold & Silver

Gold Prices Rally as Safe-Haven Demand Surges According to Nirmal Bang Securities Pvt. Ltd., gold and silver prices are expected to trade within a range-bound to bullish trend on Indian exchanges. With economic and geopolitical risks rising, investors continue to favor gold as a safe-haven asset.

Technical Forecast from ICICI Direct Research

• Spot Gold: Expected to remain stable, with support at $2,850 and potential gains toward $2,900. However, resistance is expected near the $2,900 mark.
• MCX Gold (April Expiry): Likely to move toward ₹85,000 as long as it stays above ₹83,900. A dip below ₹83,900 could push prices down to ₹83,400.
• MCX Silver (March Expiry): Expected to hold above ₹96,600 and possibly surge to ₹98,000, with immediate support at ₹95,000.

Conclusion

Gold Prices Rally as Safe-Haven Demand Surges With ongoing economic uncertainty, rising inflation, and trade tensions, gold remains a preferred investment for many traders. Experts suggest closely monitoring global economic trends and central bank policies to anticipate further price movements.