MUMBAI, India — Gold and silver prices edged lower on Tuesday as investors booked profits after the precious metals surged to record highs, driven by geopolitical concerns and uncertainty surrounding the U.S. Federal Reserve.
On the Multi Commodity Exchange, gold February futures slipped 0.44 percent to Rs 1,41,400 per 10 grams around 1:15 p.m., while silver March futures were marginally lower, down 0.01 percent at Rs 2,68,926 per kilogram.
According to data from the India Bullion and Jewellers Association, the price of 24-carat gold stood at Rs 1,40,482 per 10 grams, slightly down from the previous session’s close of Rs 1,40,499.
Gold prices had earlier crossed $4,600 per ounce for the first time, before triggering profit booking at elevated levels.
The rally was supported by U.S. President Donald Trump’s announcement of a 25 percent tariff on countries trading with Iran, along with warnings of possible military action as protests intensified in the region.
Markets are also closely tracking a criminal probe into Federal Reserve Chair Jerome Powell’s testimony, which Powell has described as politically motivated pressure to force interest rate cuts, said Rahul Kalantri, Vice President of Commodities at Mehta Equities Ltd.
Investors are now awaiting key U.S. inflation data for clearer policy signals. While interest rates are widely expected to remain unchanged this month, markets are still pricing in two rate cuts later this year, analysts said.
Last week’s U.S. jobs report showed weaker-than-expected payroll growth, reinforcing expectations that the Federal Reserve may move toward further easing in 2026.
Geopolitical risks also remain in focus. Protests in Iran have raised concerns about potential political instability and its impact on oil supplies, while Russia’s ongoing war in Ukraine and renewed signals from Washington regarding control of Greenland have added to safe-haven demand.
“Gold has support at Rs 1,39,550–1,37,310 while resistance is seen at Rs 1,44,350–1,46,670. Silver has support in the Rs 2,60,810 to Rs 2,54,170 zone, with resistance at Rs 2,71,810 to Rs 2,74,470,” an analyst said.
Silver continues to trade with a strong structural bias, with medium-term targets seen above $100 in 2026, supported by persistent supply deficits and rising demand from industrial and green-energy applications, analysts added. (Source: IANS)
