Gold Prices In India Outlook On Wednesday; What Will Drive 24K, 22K, 18K Prices On February 5?

Gold prices in India on Wednesday, February 5 are likely to be influenced by the development of Donald Trump's tariff against Canada, Mexico and China. The start of February month has been bullish for gold prices in India with carats like 24K, 22K and 18K rising by nearly 1%. In January alone, gold and silver prices rose by nearly 8-10%. Due to uncertainty in geopolitical trade, gold prices touched a new all-time high this week so far.

Gold Prices In India:

In the early trade of Wednesday, gold prices in 24K stood at Rs 85,210 per 10 grams, while gold prices in 22K and 18K were at Rs 78,110 and Rs 63,910 respectively. Yesterday, 10 grams of gold prices were up by Rs 860 to Rs 1,150, while 100 grams of gold rose by Rs 8,600 to Rs 11,500 across carats.

Silver Prices In India:

Silver prices witnessed a mild downside in the early hours of Wednesday, February 5, by Rs 100 to Rs 98,400 per 1kg.

MCX Gold, Silver Prices:

MCX gold price touched a new all-time high of Rs 83,800 per 10 grams for its April 2025 expiry. The bullion closed at Rs 83,800 per 10 grams, marginally up.

Meanwhile, MCX silver price closed at Rs 95,750 per 1kg on February 4th, also marginally up. The price was closer to its Tuesday's high of Rs 95,872 per 1 kg.

What Will Drive 24K, 22K, 18K Gold Prices On Wednesday?

According to Trading Economics data, gold gold extended its momentum to surpass $2,840 per ounce on Tuesday, a fresh record high, as further concerns that tariffs from economic superpowers will hamper global growth extended demand for safe-haven assets. US President Trump delayed tariffs against Mexico and US but followed through with levies of 10% on all imports from China this week. Consequently, Beijing retaliated by announcing tariffs on US energy goods to start next week.

In the meantime, the Trading Economics report added, interest rate futures continued to indicate that the market expects two rate cuts by the Fed this year, compared to the loose consensus of no rate cuts in the period last month. This was backed by fewer job openings than expected in the latest JOLTS report, while factory orders slumped more than expected to a six-month low.

Also, Jateen Trivedi, VP Research Analyst - Commodity and Currency, LKP Securities said, gold's positive rally took a slight pause as MCX gold traded near Rs 83,000 with a minor Rs 200 dip. This weakness came as tariff discussions between the US, Canada, and Mexico gained traction. Going forward, gold is expected to trade in a range between Rs 82,000 and Rs 83,500."