MCX Gold Futures Slide to Rs 1.52 Lakh per 10 Grams
Gold prices declined sharply in futures trade on Tuesday, slipping more than 1 percent as easing geopolitical tensions and a stronger US dollar reduced demand for safe haven assets.On the Multi Commodity Exchange, gold contracts for April delivery fell by Rs 2,228, or 1.44 percent, to Rs 1,52,532 per 10 grams. The decline was recorded in a trading turnover of 7,553 lots.
The yellow metal traded on a softer note as prices consolidated following recent volatility. Profit booking, combined with a firm US dollar and changing expectations around interest rates from the US Federal Reserve, weighed on sentiment.
Volatile Correction Continues in 2026
In 2026, gold and silver are undergoing a volatile correction after witnessing a strong rally last year. Despite the recent pullback, the broader multi year bullish trend remains intact.MCX gold is currently consolidating in the range of Rs 1.55 lakh to Rs 1.58 lakh per 10 grams, staying below earlier peaks. The present weakness is largely viewed as a consolidation phase rather than a reversal of the prevailing trend.
Investors are seen adopting a cautious stance, with holding and rebalancing strategies during dips, while fresh allocations are being staggered amid choppy market conditions.
Global Gold Prices Decline Amid Thin Trading
In the international market, Comex gold futures for April delivery dropped by USD 119.6, or 2.37 percent, to USD 4,926.7 per ounce.Gold fell below USD 4,970 per ounce amid thin trading volumes as several Asian markets, including China, remained closed for the Lunar New Year. The decline also followed a US market holiday on Monday, leading to lower participation.
Geopolitical Easing and Fed Minutes in Focus
Demand for gold as a safe haven asset softened as geopolitical tensions moderated and the US dollar strengthened.Comments from US President Donald Trump indicating indirect American involvement in upcoming nuclear discussions with Iran in Geneva raised hopes of diplomatic progress. Simultaneously, renewed talks between Ukraine and Russia reduced immediate geopolitical concerns, improving overall risk appetite in global markets.
As risk sentiment improved, some investors trimmed their exposure to precious metals.
Market participants are now closely watching the US Federal Reserve's January meeting minutes for further clarity on the future interest rate outlook, which could influence the next direction in gold prices.
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