Gold prices soared to record levels on Wednesday as global uncertainty triggered a strong shift toward safe-haven assets. Heightened geopolitical tensions, including fresh tariff threats linked to the Greenland issue, volatility in Japanese government bonds, and a weakening US dollar collectively drove demand for the yellow metal.
In the domestic market, MCX gold climbed sharply, supported by the rupee slipping beyond the crucial 91-per-dollar mark. Market experts noted that currency weakness has amplified global gains, reinforcing bullish momentum in Indian gold prices.
Analysts highlighted that gold remains in a strong upward channel, with buying interest consistently emerging on dips. Technical indicators suggest that a decisive breakout above key resistance levels could push prices toward higher targets in the near term.
Meanwhile, political rhetoric from the World Economic Forum in Davos and rising concerns over strained US-Europe relations have further unsettled markets. With equities under pressure and risk appetite fading, investors have increasingly turned to gold as a reliable store of value.
While the broader trend remains positive, experts advise caution at current elevated levels, recommending selective profit-booking or staggered buying on corrections. As global risks persist, gold is expected to remain a key defensive asset in investor portfolios.
