Overview

• Gold in major cities traded between Rs98,600 and Rs98,940 per 10 grams for 24-carat on June 26, holding near two-week lows.
• Prices reached an all-time high earlier in June following Israel’s strikes on Iran’s nuclear sites and then dropped sharply when the two sides agreed to a US-brokered ceasefire.
• Profit-booking by traders and reduced safe-haven flows drove declines of up to Rs640 per sovereign in regions such as Tamil Nadu over two days.
• Movements in the dollar, inflation expectations and ongoing trade tensions continue to shape investor sentiment on bullion.
• Market participants are watching Fed Chair Jerome Powell’s testimony along with upcoming US GDP and Core PCE Price Index releases for clues to gold’s next direction.