India Gold price today: Gold rises, according to FXStreet data

Gold prices rose in India on Tuesday, according to data compiled by FXStreet.

The price for Gold stood at 9,110.84 Indian Rupees (INR) per gram, up compared with the INR 9,044.06 it cost on Monday.

The price for Gold increased to INR 106,267.00 per tola from INR 105,488.10 per tola a day earlier.

Daily Digest Market Movers: Gold price bulls turn cautious amid signs of easing US-China tensions, ahead of FOMC meeting

Speaking to reporters aboard Air Force One on Sunday, US President Donald Trump hinted at possible trade agreements with certain countries as early as this week, though he did not name any specific countries. Trump had signaled earlier that he is open to lowering massive tariffs imposed on China.

Meanwhile, China's Commerce Ministry said last Friday that it was evaluating the possibility of trade talks with the US. This, in turn, adds to the optimism over a possible easing of the tit-for-tat tariff war between the world's two largest economies and remains supportive of a generally positive risk tone.

The Institute for Supply Management (ISM) survey showed on Monday that the growth in the US services sector picked up in April. In fact, the ISM Services PMI rose to 51.6 compared to 50.8 in March and 50.6 estimated. This comes on top of Friday's upbeat US jobs data and eases fears of a US recession.

This assists the US Dollar to gain some positive traction following a two-day losing streak. The Gold price, however, continues to attract safe-haven flows amid uncertainty over Trump's erratic trade policies and rising geopolitical risks. Trump on Sunday announced a 100% tariff on movies produced overseas.

On the geopolitical front, Russian officials said that Ukraine launched drones at Moscow for the second night in a row, forcing the closure of the capital's three major airports. Moreover, Ukrainian forces were trying to advance in Kursk and attacked a power substation in Russia's western Kursk region.

Furthermore, Israel, reportedly in coordination with the US, launched airstrikes on Yemen's Hodeidah port in response to Houthi rebel's ballistic missile attack that hit Ben Gurion International Airport on Sunday. This, in turn, provides an additional boost to the commodity on Tuesday.

Traders now look forward to the highly-anticipated two-day FOMC meeting starting this Tuesday amid reduced bets for a rate cut in June. Hence, the accompanying policy statement and Federal Reserve Chair Jerome Powell's comments on Wednesday will be scrutinized for cues about the rate-cut path.

FXStreet calculates Gold prices in India by adapting international prices (USD/INR) to the local currency and measurement units. Prices are updated daily based on the market rates taken at the time of publication. Prices are just for reference and local rates could diverge slightly.

(An automation tool was used in creating this post.)