Despite weaker-than-expected US jobs data, gold fell 0.71% to Rs 149,316 as markets assessed the Federal Reserve’s interest-rate outlook. Recent labor-market indicators imply stability, but persistent inflation remains the Fed’s principal concern, raising monetary policy uncertainty, said Chicago Fed President Austan Goolsbee. Due to predictions of more US rate hikes and rising oil costs, HSBC decreased its average 2026 gold price forecast to $4,490 per ounce from $4,560 and its 2027 forecast to $4,825.
Goldman Sachs maintained its end-2027 projection at $5,400, believing that tighter monetary policy may impede gold’s near-term appreciation but won’t derail the longer-term rally due to central-bank diversification. South Korea’s central bank owned 104.4 tonnes of gold at end-June, 3.1% of total reserves, and planned to buy approximately 1 tonne from domestic miners in December. Lower prices boosted Asian physical demand. Indian demand may rise before Dussehra and Diwali, while Chinese gold trades at $5-10 per ounce.
By July, London vault holdings grew 0.74% to 9,534 tonnes, worth $1.2 trillion. Gold is under fresh selling pressure as open interest rose 2.3% to 16,322 and prices fell Rs 1,074, signalling more bearishness. Support is at Rs 148,385, and a sustained fall below might expose Rs 147,445. A decisive rise above Rs 150,730 could lead to a comeback toward Rs 152,135.
