Gold prices hit record high for 3rd straight day on MCX; spot gold tops $3,000 on safe-haven demand

Gold price today: Maintaining its upward run the third straight day, gold prices touched another peak on the Multi Commodity Exchange (MCX) in today’s trading session, March 14. The April expiry contract opened higher at ₹87,781 per 10 grams and strengthened further to hit a fresh peak of ₹88,280, marking a 0.57% jump from the previous closing price.

Meanwhile, spot gold prices surpassed $3,000 per ounce for the first time earlier today, reaching a fresh all-time high of $3,004. So far this year, spot prices have already climbed 14.20% after ending the previous calendar year with a 27.24% gain.

Indian stock markets remained closed today in observance of Holi. However, commodity markets opened for the evening session at 5 PM. 

Gold prices have been hitting record highs this year, largely driven by concerns over a potential global economic fallout stemming from Donald Trump’s trade policies, prompting investors to flee from risky assets toward safer havens, fueling a sustained rally in gold

Additionally, gold accumulation by major central banks, particularly China, which extended its purchases for a fourth consecutive month in February, is supporting the metal’s rally. Furthermore, prices are drawing additional support from dollar weakness below 103.75 amid softer-than-expected CPI data, which reinforced expectations of interest rate cuts in both the U.S. and India.

Moreover, fears are also mounting that the Trump administration could impose duties on gold imports, prompting some of the largest banks in the U.S. to transport gold bars from London to New York City on commercial flights.

Amid the sustained rally, the yellow metal is also surpassing analysts’ target prices earlier than expected, prompting them to revise their projections higher. Global brokerage firm Macquarie recently updated its 2025 gold price forecast and now expects the precious metal to reach $3,500 an ounce by the third quarter.

Analysts stated that gold remains a key safe-haven asset, as the bank’s economists anticipate global economic growth to decline to 0.3% by the third quarter of this year.

Risk-off sentiment grows

In the latest salvo, Trump threatened to impose 200 percent tariffs on wine, champagne, and other alcoholic beverages from European Union countries in retaliation against the bloc’s planned levies on American-made whiskey and other products.

The EU’s tariffs were announced in retaliation to Trump’s levies on steel and aluminum. The president said he would not row back on the metals duties, nor on plans for sweeping reciprocal tariffs on countries worldwide that are due to kick in as soon as April 2.

Analysts have warned that markets are being wracked by uncertainty amid fears the increasing trade war between major global economies could reignite inflation. Wall Street has been hammered, with the S&P 500 slipping into a correction Thursday, having fallen more than 10 percent from its recent peak—a record high touched just last month.

Analysts expect MCX gold price to touch ₹92,000

Ajay Kedia, Director of Kedia Advisory, expects gold prices on MCX to reach ₹92,000 in 2025, driven by record central bank purchases, a weakening U.S. dollar, and Federal Reserve rate cuts. A global trade war and inflation concerns are also likely to sustain bullish momentum.

However, he noted that extreme volatility is expected, as a resolution of trade tensions, stronger economic data, or a Fed pause on rate cuts could trigger sharp corrections.

“Gold’s historical tendency to correct when all factors turn bullish suggests that unexpected market shifts could cause price swings of ₹6,000- ₹7,000 per 10 grams before reaching new highs,” he further added.

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.