Fri Apr 04 19:40:00 UTC 2025: ## Gold Price Dips After Record High, But Analysts Remain Bullish

**Mumbai, India** – The price of gold, after reaching a record high of $3,167 per ounce in early April, has experienced a slight dip, currently trading around $3,107. While the decrease is relatively small, the unexpected downturn follows a year of significant growth (35% increase) and has sparked speculation.

The drop coincided with President Trump’s April 2nd tariff announcement, although the full impact of these tariffs is not expected to be felt immediately. Analysts suggest that profit-taking, driven by the substantial gains over the past year, may also be a contributing factor. Investors may be selling gold to offset losses in other markets.

Despite the recent decline, experts remain optimistic about gold’s future. Jon Mills, equity analyst for Morningstar, predicts gold will average $3,170 per ounce from 2025 to 2027, and $2,000 per ounce from 2029 onward. He cites several factors supporting higher prices, including a flight to safety amid falling stock markets, tariff concerns, geopolitical instability, a weaker US dollar, and rising inflation expectations. Strong central bank buying and positive ETF flows also contribute to his bullish outlook.

However, short-term prospects are less certain. Dr. Renisha Chainani, Head of Research at Augmont, notes that continued selling pressure could push gold below $3,000. Support levels are crucial, with a potential rebound to $3,200 if prices remain above $3,070. A sustained fall below this level could result in a drop to $3,000.

The anticipated US Federal Reserve rate cut in May or June could potentially reignite a significant gold price surge. In India, the 24-carat gold price has fallen by Rs 1,740, trading at Rs 91,640. The overall economic uncertainty and bearish equity outlook continue to support a positive long-term outlook for gold.

**(Note: The information about Hyundai Motor India’s Creta sales is unrelated to the gold price story and has been omitted from this news article for clarity.)**

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