Gold rate today: Yellow metal falls amid geopolitical uncertainty. How to trade gold on MCX amid volatility?

Gold price today: Gold prices fell marginally on Tuesday morning fueled by Donald Trump's tariff disputes with China and the European Union, ongoing geopolitical uncertainty from the Russia-Ukraine conflict, and market expectations ahead of the upcoming US Federal Reserve interest rate decision.

MCX Gold was trading 0.18 per cent down to ₹96,752 per 10 grams around 9:30 am on June 3.

Meanwhile, gold prices in the international market also saw a marginal fall on Tuesday, retreating from near a four-week high. Spot gold fell 0.3% to $3,369.98 an ounce, as of 0249 GMT, after hitting its highest level since May 8 earlier in the session. U.S. gold futures were steady at $3,390. The metal rose approximately 2.7% in the last trading session, recording its best single-day gain in over three weeks.

Because gold is valued in US dollars, a weaker dollar causes gold to become less expensive in foreign currencies, which boosts its demand abroad.

Currently, gold’s main driver is the economic outlook of the world’s biggest economy. Following Moody’s downgrade of the US credit rating, President Donald Trump’s broad tax and spending plan has sparked worries that it could increase the country’s fiscal deficit.

“As anticipated, gold prices rebounded from recent lows, driven by renewed interest from dip buyers amid growing concerns over a potential breakdown in US-China relations. Heightened tensions between Russia and Ukraine, despite ongoing peace negotiations, have further contributed to the market’s risk-off sentiment. These geopolitical and trade-related uncertainties have overshadowed expectations that the US Federal Reserve may delay interest rate cuts until September. In the near term, gold’s safe-haven appeal is likely to strengthen as investors seek stability. Looking ahead, the upcoming non-farm payrolls data on Friday will be a key catalyst for bullion price movements,” said Aksha Kamboj, Vice President, India Bullion and Jewellers Association and Executive Chairperson, Aspect Global Ventures.

Although gold prices have been volatile, experts generally remain optimistic about gold and recommend purchasing during price declines.

"Gold reacted sharply to renewed geopolitical tensions, as Ukraine launched retaliatory strikes following intensified Russian offensives. This escalation triggered safe-haven buying, lifting Comex gold by $50 to $3,350 and MCX gold by ₹1,300 to ₹97,250.

This week’s focus shifts to key macroeconomic indicators including U.S. Manufacturing PMI, Non-Farm Payrolls, Unemployment Rate, and speeches from Fed Chair Jerome Powell. With safe-haven momentum returning and a heavy data calendar ahead, gold may look to test the $3,400 level.

Support is seen at $3,250 on Comex and ₹94,000 on MCX, while resistance is expected between ₹98,500– ₹99,000," said Jateen Trivedi, VP Research Analyst - Commodity and Currency, LKP Securities.

Speaking on silver prices, Rahul Kalantri of Mehta Equities said, “Silver has support at $33.82-33.65 while resistance is at $34.40-34.65. Silver has support at Rs100,260-99,350 while resistance at Rs1,01,750-1,02,550.”

Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.

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