Overview
- Global spot gold traded in the mid‑$4,600s per ounce on Tuesday with a small intraday pullback after a multi‑day advance that pushed prices to levels not seen in months.
- Domestic retail rates rose to very high levels, with Delhi quoted at about Rs 1,67,100 per 10 grams and Pakistan’s 24K near Rs 486,536 per tola on Tuesday, Aug. 25.
- Traders and analysts say safe‑haven demand driven by renewed U.S.-Iran tensions, a softer dollar and lower bond yields powered the recent rally and heavier Asian physical buying supported local markets.
- Short‑term profit‑taking and heightened volatility set in as market participants awaited Wednesday’s core PCE inflation report and Fed Chair Kevin Warsh’s Jackson Hole speech, events seen as key for Fed policy outlooks.
- Higher local prices include taxes, premiums and import costs so sustained international gains or pressure on the rupee could raise consumer costs for jewellery and bars, while central‑bank and Asian buying may support bullion over a longer horizon.