Gold price today: Rates at record high on Fed rate cut expectations; experts highlight key MCX levels to watch

By Admin

03 Sep, 2025

Gold prices touched an all-time high in the domestic market on Wednesday (September 3), supported by a stable dollar and growing expectations that the US Federal Reserve will cut interest rates this month. The surge has intensified investor interest, with experts pointing to key levels on the Multi Commodity Exchange (MCX) to track in the coming days.

Gold Hits Record High in Domestic Market

Gold October futures on MCX rose 0.5% to a record high of ₹1,06,199 per 10 grams during morning trade. Around 9:15 AM, the contract was trading slightly lower at ₹1,05,992 per 10 grams, up 0.19%. In contrast, MCX Silver December futures slipped 0.11% to ₹1,24,391 per kg, showing some divergence between the two precious metals.

Global Drivers of the Rally

International gold prices also mirrored the domestic surge, with US gold futures hitting $3,616.70 per troy ounce. The key driver has been rising bets on a Fed rate cut, alongside persistent trade uncertainties. According to CME Group’s FedWatch Tool, there is now a 92% probability of a 25-basis-point rate cut when the Fed announces its policy decision on September 17.

Another major factor supporting bullion prices is the continuation of Trump’s tariffs on Indian goods, with little sign of relief. On Tuesday, President Trump confirmed that he is not considering lowering tariffs on India, raising concerns about the impact on the Indian economy.

Meanwhile, investors have turned to gold as a safe-haven asset amid this heightened uncertainty. SPDR Gold Trust, the world’s largest gold-backed ETF, reported its holdings jumped 1.32% to 990.56 tons on Tuesday, the highest level since August 2022.

Economic Data in Focus

Market participants are now eyeing the US non-farm payrolls data due on Friday, which could further influence expectations regarding the size of the Fed’s upcoming rate cut. A weaker jobs report could strengthen the case for more aggressive easing, potentially pushing gold prices higher.

Key Expert Levels to Watch

Manoj Kumar Jain of Prithvifinmart Commodity Research has highlighted important support and resistance zones for both gold and silver:

• International Gold: Support at $3,570–3,552 and resistance at $3,620–3,640 per troy ounce.
  
  

• International Silver: Support at $41.20–40.84 and resistance at $41.94–42.40 per troy ounce.
  
  

• MCX Gold: Support at ₹1,05,150–1,04,600; resistance at ₹1,06,350–1,07,000.
  
  

• MCX Silver: Support at ₹1,23,500–1,22,200; resistance at ₹1,25,200–1,26,600.
  
  

Jain advised caution, noting: “We suggest booking profits in gold and silver in the long positions as the market is in a highly overbought zone.”

Outlook

Gold’s record-breaking rally highlights its role as a hedge in times of global economic and trade uncertainty. While the Fed’s rate decision will be the next big trigger, tariff concerns and macroeconomic data releases will continue to shape price action in the near term.

Disclaimer: This article is for educational purposes only. The views and recommendations cited are those of individual analysts and firms, not Mint. Investors should consult certified experts before making any investment decisions, as market conditions remain volatile.