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

Gold prices fell in India on Thursday, according to data compiled by FXStreet.

The price for Gold stood at 8,662.07 Indian Rupees (INR) per gram, down compared with the INR 8,747.56 it cost on Wednesday.

The price for Gold decreased to INR 101,032.60 per tola from INR 102,029.80 per tola a day earlier.

Daily Digest Market Movers: Gold price continues to be weighed down by trade optimism and reduced bets for aggressive Fed rate cuts

The US and China agreed to slash steep tariffs for at least 90 days. Moreover, US President Donald Trump said on Tuesday that he could see himself dealing directly with Chinese President Xi Jinping on the details of a trade pact.

This helps to ease market concerns about a downturn in the world's largest economy and drags the safe-haven Gold price to over a one-month low on Thursday amid expectations of fewer interest rate cuts by the Federal Reserve.

Traders are now pricing in a little over 50 basis points of Fed rate cuts for the year, down from over a full percentage point of reductions priced in last month. This lifts the benchmark 10-US Treasury yield to its highest in a month.

Fed Vice Chair Philip Jefferson warned that announced tariffs and the uncertainty surrounding U.S. trade policy could derail any recent progress on inflation. Jefferson added that the recent inflation data show further progress toward the 2% target and described the current policy stance as well-positioned to respond to developments that may arise.

Adding to this, Chicago Fed President Austan Goolsbee noted that some parts of the April inflation report represent the lagged nature of the data, and it will take time for current inflation trends to show up in the data. Goolsbee added that right now is a time for the US central bank to wait for more information, try to get past the noise in the data.

Separately, San Francisco Fed President Mary Daly said that the US economy and the labor market are solid, and inflation is declining. With monetary policy moderately but not overly restrictive, the US central bank can wait to adjust interest rates amid the uncertainty and respond to whatever comes into the economy, Daly added further.

The US Dollar bulls, however, seem reluctant and opt to wait for the release of the US Producer Price Index, due later during the North American session. Apart from this, Fed Chair Jerome Powell's appearance will be looked upon for cues about the future rate-cut path, which will drive the USD and provide a fresh impetus to the XAU/USD pair.

Ukrainian President Zelenskyy had said he would surely attend the first peace talks with Russia, scheduled this Thursday in Istanbul. The Kremlin, however, announced that Russian President Vladimir Putin will skip the meeting.

The Israeli military said on Wednesday that it intercepted a missile launched from Yemen towards its territory. In a further escalation of violence in the region, an intense wave of Israeli bombing on Wednesday killed as many as 80 people in Gaza. This keeps geopolitical risks in play, though it does little to lend any support to the precious metal.

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.)