Wed Dec 04 10:34:44 UTC 2024: ## Gold Prices Rise Amidst Geopolitical Tensions, but Strong Dollar Limits Gains
**Mumbai, India** – Gold prices experienced a moderate increase in the domestic futures market on Tuesday morning, fueled by escalating geopolitical tensions between Israel and Hezbollah. However, the rising US dollar tempered these gains.
At approximately 9:20 am, MCX February gold futures were trading 0.14% higher at ₹76,792 per 10 grams. The recent exchange of strikes between Israel and Hezbollah, following accusations of ceasefire violations, contributed to the price increase, as gold often benefits from periods of geopolitical uncertainty.
Despite this, the strengthening US dollar exerted downward pressure on gold prices. Gold’s global pricing in US dollars means a stronger dollar increases its cost in other currencies, reducing demand.
Market analysts are now closely monitoring key US economic data, including upcoming job openings, ADP employment, and payroll reports, to assess the potential impact on the Federal Reserve’s interest rate decisions. Expectations are for a 25 basis point rate cut in the December 17-18 meeting.
Recent gold price weakness, according to analysts, has been attributed to profit-taking, the stronger dollar, and comments from President-elect Donald Trump regarding potential tariffs on BRICS nations.
Rahul Kalantri of Mehta Equities and Manoj Kumar Jain of Prithvifinmart Commodity Research offered differing price predictions and trading strategies for both gold and silver, providing support and resistance levels in both USD and INR terms. These predictions should be considered alongside independent financial advice. (Specific price targets and trading recommendations are available in the original article).
**Disclaimer:** This news report summarizes information from various sources and should not be considered financial advice. Consult with a qualified financial advisor before making any investment decisions.
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