Gold prices in India rose on Tuesday, according to data from FXStreet, as geopolitical concerns and cautious sentiment ahead of the U.S. Federal Reserve’s policy meeting kept safe-haven demand intact.
The price of gold stood at ₹9,110.84 per gram, up from ₹9,044.06 on Monday. Similarly, the price per tola increased to ₹106,267.00 from the previous day’s ₹105,488.10.
| Unit | Gold Price (INR) |
|---|---|
| 1 Gram | ₹9,110.84 |
| 10 Grams | ₹91,108.92 |
| 1 Tola | ₹106,267.00 |
| 1 Troy Ounce | ₹283,378.90 |
Global Market Sentiment
Gold’s gains come amid cautious optimism over a potential thaw in U.S.-China trade relations. Speaking aboard Air Force One on Sunday, U.S. President Donald Trump suggested that new trade agreements could be reached with unnamed countries as early as this week. He also indicated a willingness to reduce tariffs on Chinese goods, boosting investor confidence.
In a further sign of improving relations, China’s Ministry of Commerce said last Friday it was considering fresh trade talks with the U.S., raising hopes of a de-escalation in the prolonged tariff dispute between the world’s two largest economies.
Economic Data and the Fed Outlook
Meanwhile, the Institute for Supply Management (ISM) reported that U.S. services sector activity accelerated in April. The ISM Services Purchasing Managers’ Index rose to 51.6, up from 50.8 in March and above market expectations of 50.6. This follows stronger-than-expected U.S. employment data released on Friday, easing concerns about a potential recession and lending support to the U.S. dollar, which had been under pressure for two consecutive sessions.
Despite the dollar’s rebound, gold continues to attract investors seeking a hedge against market volatility and geopolitical instability.
Rising Geopolitical Risks
Geopolitical tensions remained elevated. Russian authorities reported a second consecutive night of Ukrainian drone attacks on Moscow, leading to the temporary closure of the city’s three main airports. Ukrainian forces also reportedly attempted to advance in Russia’s Kursk region, targeting a power substation.
In the Middle East, Israel, reportedly in coordination with the United States, launched airstrikes on Yemen’s Hodeidah port in response to a missile attack by Houthi rebels that struck Ben Gurion International Airport on Sunday.
Further uncertainty was stirred by President Trump’s announcement on Sunday of a 100% tariff on foreign-produced films, adding to concerns over his unpredictable trade stance.
Market Focus: FOMC Meeting
Investors are now closely watching the two-day meeting of the U.S. Federal Open Market Committee (FOMC), which begins Tuesday. With reduced expectations of a rate cut in June, markets will scrutinize the Fed’s policy statement and Chair Jerome Powell’s remarks on Wednesday for signals about the central bank’s next moves.
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