Home / Business and Economy / Gold Hits Record High Amid Trade War Fears
Gold Hits Record High Amid Trade War Fears
20 Jan
Summary
- Gold prices surged past Rs 1.5 lakh mark on Tuesday.
- US President Trump's tariff threats ignited safe-haven demand.
- International gold touched an all-time high of $4,721.91 per ounce.
Gold prices surged dramatically on Tuesday, breaking the Rs 1.5 lakh mark domestically and reaching an all-time international high of $4,721.91 per ounce. This significant rise was directly influenced by US President Donald Trump's recent tariff threats, which have heightened global trade war anxieties.
The escalation of geopolitical tensions has propelled investors towards perceived safe-haven assets like gold, boosting its demand. Factors contributing to this trend include ongoing concerns over inflation, potential trade disruptions, and lingering geopolitical risks in regions such as Venezuela, Iran, and Ukraine.
Furthermore, the sharp depreciation of the Indian rupee against the US dollar, with USD/INR January futures trading above 91, has amplified returns for domestic investors. This dual advantage of rising global gold prices and a weaker rupee is making gold investments particularly lucrative in India.
