Investors in bustling Asian markets are negotiating a maze of volatile gold prices. Gold's value has fluctuated recently, following global economic reports and geopolitical tension.
Spot gold was down 0.7% on the day, trading at $3,293.59 an ounce by May 30, 2025, with a 1.9% loss for the week. This slide comes in the face of a firmer U.S. dollar, which firmed 0.14% to 99.394, and gold becoming more expensive for those who hold other currencies. The rise of the dollar is being blamed on higher yields and fresh trade jitters.
Recent events in U.S. trade policy have also contributed significantly to the volatility in gold markets. A federal appeals court temporarily revived large tariffs that former President Donald J. Trump had placed on Chinese and other foreign steel, rejecting a lower-court judgment that they were a blatant overstep of presidential power. The latest legal jousting has rekindled fears of a trade war, especially with China, and has injected uncertainty into world markets. Barron's
Long-term investors there for the position in gold they own shouldn't be swayed by all this short-term noise. Analysts fear gold prices may hit $4,000 an ounce in the next 12 months as continued geopolitical uncertainty fuels global demand for safe-haven assets. Gold is already up 25.1% year-to-date—easily soundly thumping the S&P 500's paltry 0.5% gain.
Gold prices have followed the global pattern in India as well. Gold futures, that is, on the Multi Commodity Exchange (MCX), fell 0.59 percent to ₹95,891 on May 30, 2025. That's thanks to a lack of demand for safe-haven assets and an increase in the value of the U.S. dollar.
