Gold Prices In India Rise For The Fourth Consecutive Day

Mixed messages on the US-China trade deal has been keeping gold prices in India high for the fourth session. The price surge began last Friday as investors continue to await more clarity on the progress in the deal.

On Wednesday, gold futures on MCX were trading marginally higher by 0.03 percent to Rs 37,953/10 gram around 12:15 pm.

In the international market, spot gold was trading at $1,475.55 an ounce, steady with the previous day's rates.

Since the mid-2018s, gold prices have been largely dictated by the trade conflict between the two largest economies in the world. While the US and China announced the "phase one" of their trade deal, the terms of deal were not quantified.

On Tuesday, US Trade Representative Robert Lighthizer said that details of Chinese purchases across US agriculture, manufacturing, energy and service sectors in the phase one deal would be detailed in writing. However, no details were provided on when the written agreement would be released.

After the completion of the trade deal, analysts say that US expects its exports to China to double but Beijing has remained cautious.

The tariff spat has pushed gold prices by 15 percent internationally in 2019 as economic uncertainties make the safe haven metal attractive.

While the current market scenario is in the favour of sellers, a positive trade deal, on signing, is likely to push gold prices down.