Gold Rises Near 3-Week High Amid Geopolitical Uncertainty

Gold and Silver Prices Hold Steady as Dollar Weakness and Geopolitical Risks Support Bullion​

Precious Metals Trade Near Multi-Week Highs Amid Rate Cut Expectations​

Gold and silver prices remain stable on Thursday, supported by a softer US dollar and ongoing geopolitical uncertainty, even as investors reassess expectations around US interest rates and trade policy.

Spot gold rises 0.3 percent to $5,184.43 per ounce in early trade, hovering near a more than three week high touched earlier this week. However, US gold futures for April delivery decline 0.5 percent to $5,199.20 per ounce, reflecting mild profit booking following the recent rally.

Weaker Dollar Boosts Bullion Appeal​

A softer US dollar provides support to bullion prices. The currency eases after stronger than expected earnings from Nvidia lift overall risk sentiment, while markets await further clarity on fresh US tariff measures.

A weaker dollar makes gold more affordable for holders of other currencies, typically improving global demand for the metal.

Trade Policy and US-Iran Talks Keep Safe Haven Demand Intact​

On the trade front, US Trade Representative Jamieson Greer indicates that tariff rates for certain countries could rise to 15 percent or higher from the newly imposed 10 percent level. No specific trading partners are identified.

At the same time, investors continue to monitor US-Iran discussions in Geneva aimed at resolving their long standing nuclear dispute. These developments sustain demand for safe haven assets such as gold and silver.

Fed Rate Cut Bets Shape Gold’s Outlook​

Interest rate expectations remain central to gold’s trajectory. Markets are currently pricing in three 25 basis point rate cuts by the Federal Reserve this year, according to CME’s FedWatch tool. Weekly US jobless claims data is awaited for additional signals on the central bank’s policy path.

Lower interest rates reduce the opportunity cost of holding non yielding assets like gold, typically enhancing their attractiveness.

Domestic Gold Levels: Key Support and Resistance​

In the domestic market, Jateen Trivedi, VP Research Analyst for Commodity and Currency at LKP Securities, places immediate support for gold near ₹1.55 lakh per 10 grams and resistance around ₹1.64 lakh per 10 grams. He states that the broader trend remains firm as long as these key support levels hold.

Silver Extends Gains After Recent Rally​

Spot silver edges up 0.1 percent to $89.49 per ounce after climbing to a three week high in the previous session. The metal mirrors gold’s safe haven appeal while also benefiting from its industrial demand profile.

2025 Performance Strong, 2026 Outlook Turns Neutral​

A recent outlook by Mumbai based advisory firm 1 Finance highlights that gold and silver deliver strong returns in 2025. Gold gains 72 percent in rupee terms during the year, supported by central bank purchases of 863 metric tonnes and softer real yields.

Silver surges 122 percent amid a multi year supply deficit and rising demand from solar and electronics sectors.

However, the firm describes its 2026 outlook for both metals as neutral. It cites the possibility of slower investment demand for gold following last year’s rally and potential profit taking in silver after its sharp surge. While structural support remains in place, risks include a stronger than expected dollar and moderation in investment flows.

Overall, gold and silver continue to trade with a firm undertone, supported by currency movements, geopolitical developments, and expectations of lower US interest rates.