Gold price continues to see bull run on Tuesday driven by rising concerns over US tariffs and expectations of additional rate cuts by the US Federal Reserve, which continue to boost safe-haven demand.

On Tuesday, MCX December gold future rates climbed more than ₹2,000, or over 1.6 per cent, reaching a record ₹1,26,652 per 10 grams. Meanwhile, MCX December silver futures jumped over ₹7,400, or nearly 5%, to hit a fresh high of ₹1,62,057 per kilogram.

As political and economic unpredictabilities around the world worsen, gold prices are rising. Concerns about possible disruptions to global commerce and economic growth have been raised by the resurgence of trade hostilities between the US and China, the two biggest economies in the world.

In reaction to China's intention to expand its export limits on rare-earth products, US President Donald Trump announced a 100 percent tax on Chinese imports and placed export controls on important US-made software, which will go into force on November 1.As fresh trade tensions between the United States and China rekindled demand for safe haven assets, gold prices began substantially higher with a strong gap up of ₹2,000, trading above ₹1,26,600 per 10 grammes. Global uncertainty and risk aversion have increased as a result of China's threat to limit rare earth exports and the U.S. administration's declaration of a 100% tariff hike on a number of Chinese goods. Gold's prognosis remains favourable due to the geopolitical concern and the ongoing demand from investors looking for safety, according to Jateen Trivedi, VP Research Analyst-Commodity and Currency at LKP Securities.

By Diwali 2025, would the rally still be going strong?
According to Aksha Kamboj, Executive Chairperson of Aspect Global Ventures and Vice President of the India metal & Jewellers Association (IBJA), there will probably be more volatility in the metal market before the holiday season.Although we will monitor any short-term corrections, we anticipate that the trend will continue to have the potential for a further increase given India's seasonal expenditure and elevated geopolitical threats. As global decisions about rates and the currency impact the market, we anticipate further volatility in the future," Kamboj stated.

However, Mehta Equities Ltd.'s VP of Commodities, Rahul Kalantri, stated that the upward trend in gold prices is probably going to continue in the upcoming weeks.
After nine weeks of straight gains, silver saw profit-taking, while gold had its eighth consecutive weekly increase. The overall trend is still good, and bullish momentum is probably going to continue in the upcoming weeks, even though investors were cautious at record highs. Gold's resistance is between $4050 and 4075, while its support is between $3965 and 3930. "In Indian rupees, gold has resistance at Rs. 1,22,450-1,22,950 and support at Rs. 1,20,670-1,19,980," Kalantri.