Gold prices edge higher ahead of US inflation data

Gold prices inched up on Tuesday, July 15. Investors are waiting for fresh US inflation data to gauge the Federal Reserve’s next move on interest rates.

Spot gold rose 0.1% to $3,346.94 per ounce at 0151 GMT. US gold futures held steady at $3,355.60 an ounce.

In India, gold traded at ₹99,770 per 10 grams for 24-karat purity. The price for 22-karat gold stood at ₹91,450. For 18-karat gold, it was ₹74,830, according to Goodreturns.

Renewed trade tensions pushed safe-haven demand higher. US President Donald Trump threatened fresh 30% tariffs on imports from Mexico and the EU starting August 1.

“Gold remains the asset of choice when tariff tensions flare up. Its move towards $3,350 shows this again,” said Tim Waterer, Chief Market Analyst at KCM Trade.

He warned that firm treasury yields and a strong dollar could cap further gains unless yields drop or geopolitics worsen.

Rahul Kalantri, VP Commodities at Mehta Equities, flagged sharp swings in bullion.

Kalantri pegged gold’s support at $3,330–$3,305 an ounce and resistance at $3,370–$3,390 an ounce. In rupee terms, support lies at ₹97,390–₹97,000 per 10 grams. with resistance at ₹98,110–₹98,380 per 10 grams.

Jateen Trivedi, VP Research Analyst at LKP Securities, said uncertainty is high, boosting safe-haven demand.

"Gold stays positive as long as it trades between ₹97,500 and ₹99,500 per 10 grams,” he noted.

Markets now look to the US consumer price index due later on Tuesday (July 15). Economists expect headline inflation to rise to 2.7% from 2.4% in May. Core inflation may hit 3.0%.

Trump renewed his attack on the Fed this week, saying rates should be at 1% or lower. Markets are pricing in up to 50 basis points of rate cuts by December.

Gold often gains in a low-rate environment. A soft inflation print or signs of slowing growth could push prices closer to $3,400 an ounce.

-With Reuters inputs