Gold prices surged to a record high on Wednesday, with MCX Gold prices reaching ₹94,840 per 10 grams in the domestic futures market. This marks a significant jump of over ₹1,000, or more than 1%, in early trading on April 16, driven by a weaker dollar and ongoing uncertainty surrounding US President Donald Trump’s tariff policies.
By 10:55 AM, MCX Gold was trading 1.5% higher at ₹94,840 per 10 grams, setting a new all-time high. International gold prices also mirrored this upward trend, reaching record levels. The surge was fueled by the declining strength of the US dollar and growing concerns over the economic impact of the ongoing trade war, which has heightened the demand for gold as a safe-haven asset.
Comex Gold saw a notable 2% increase, climbing to $3,294.60 per troy ounce. As a result of the weaker dollar, gold has become more affordable in other currencies, further boosting its demand globally.
The dollar index fell by around half a percent during the session, making gold more attractive to international buyers. Gold’s price sensitivity to the dollar is a key factor, as the precious metal is priced in US dollars. Additionally, growing expectations for potential rate cuts, following significant declines in inflation in both India and the US, are providing further support to gold prices.
In India, retail inflation eased to its lowest level since August 2019, with the Consumer Price Index (CPI) rising just 3.34% annually in March 2025. This marks a decrease from 3.61% in February and 4.85% in the same month last year. Meanwhile, in the US, the CPI cooled to 2.4% in March, contributing to the broader trend of inflationary relief.
Market participants are also closely watching upcoming US retail sales data, expected later today, which will offer fresh insights into the state of the world’s largest economy and shape expectations for future monetary policy by the US Federal Reserve.
Gold and Silver Price Outlook
Manoj Kumar Jain, a commodity research expert at Prithvifinmart, anticipates continued volatility in gold and silver prices due to fluctuations in the dollar index and the ongoing trade war between the US and China. Jain has outlined key support and resistance levels for both metals:
Gold (Comex): Support at $3,220-$3,194; Resistance at $3,264-$3,292 per troy ounce
Silver (Comex): Support at $32.00-$31.74; Resistance at $32.64-$32.88 per troy ounce
Support: ₹93,000-₹92,660
Resistance: ₹93,950-₹94,500
He recommends buying gold above ₹93,600 with a stop-loss at ₹93,300, targeting ₹94,200. For silver, Jain suggests entering around ₹94,400 with a stop-loss at ₹93,750, targeting ₹95,800.
As the geopolitical and economic environment remains fluid, investors are advised to stay alert to market changes and monitor key data releases that could influence future price movements in both gold and silver.
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