Gold Prices Dip Ahead of Akshaya Tritiya

Gold prices took a breather on Tuesday, dropping ahead of the auspicious occasion of Akshaya Tritiya, a popular time for gold purchases in India. The price of 24-carat gold, the purest form of the metal, dipped to ₹97,693 per 10 grams, while 22-carat gold, commonly used in jewelry making, settled at ₹89,563 per 10 grams.

According to GoodReturns, in Mumbai, 24-carat gold was priced at ₹97,547 per 10 grams, and 22-carat gold at ₹89,417 per 10 grams. In Delhi, 24-carat gold fetched ₹97,693 per 10 grams, and 22-carat gold ₹89,563 per 10 grams. Chennai saw similar trends with 24-carat gold priced at ₹97,541 per 10 grams and 22-carat gold at ₹89,411 per 10 grams.

What’s Behind the Dip?

The drop in gold prices comes as trade tensions between the US and its trading partners seem to be easing. US Treasury Secretary Scott Bessent recently stated that several key trading partners, including India, have proposed solutions to avoid US tariffs, signaling a potential de-escalation of trade disputes. Additionally, China’s decision to exempt certain US goods from retaliatory tariffs shows a willingness to find common ground.

This easing of trade tensions has lessened the appeal of gold as a safe-haven asset, as investors become more optimistic about the global economic outlook. Furthermore, the market is eagerly awaiting US economic data which will help gauge the Federal Reserve’s future monetary policy decisions.