Gold prices in India will be in focus on Wednesday, March 12, amidst a weak dollar after Trump backed down from its 50% tariff plan on Canada. US President Donald Trump’s tariff plans on foreign countries have taken global market by the storm, with sharp selloffs in US stocks on recession fears and trade war tensions. Gold should offer as a safe haven amidst uncertainty. Brokerage Nirmal Bang recommended SELL on gold and silver on March 12.

Gold Prices In India:

In the early trade, 24K gold price stood at Rs 87,840 per 10 grams, while 22K and 18K gold prices are at Rs 80,190 and Rs 65,610 per 10 grams. The price of 1 gram gold in India is currently at Rs 8,748 per gram for 24 karat gold, at Rs 8,019 per gram for 22 karat gold and at Rs 6,561 per gram for 18 karat gold (also called 999 gold).

Silver Prices In India:

Silver prices have corrected sharply in March so far. On Wednesday, in early trade, 1Kg silver price in India stood at Rs 97,900, while 1 gram silver costed at Rs 97.90. In cities like Chennai, Hyderabad, and Kerala, silver prices were at Rs 1,06,900 per 1kg, costliest compared to other metro cities.

Spot Gold Price:

As per Trading Economics, spot gold steadied above $2,910 per ounce on Wednesday, holding a 1% gain from the previous session, sustained by its safe-haven appeal and weaker US dollar. On Tuesday, President Donald Trump walked back his trade-war threat against Ontario, hours after vowing to double tariffs on Canadian steel and aluminum to 50%, while Ontario Premier Doug Ford temporarily suspended a planned 25% surcharge on US electricity exports.

Trading Economics added, the ongoing global trade uncertainties, combined with heightened concerns over a US tariff-induced recession, continued to drive investors toward safety assets. However, geopolitical risk premiums eased after the US agreed to resume military aid and intelligence sharing with Ukraine following Kyiv’s acceptance of a US-proposed 30-day ceasefire with Russia. Meanwhile, markets now await the US CPI data later today to assess the Fed’s potential interest rate stance for the year.

Gold Price Outlook:

MCX gold price is currently at Rs 86,040 per 10 grams down by Rs 112 or 0.13%, after hitting an intraday high of Rs 86,271 per 10 grams. While MCX silver is at Rs 98,410 per 1kg, up by Rs 278 or 0.28%, after hitting an intraday high of Rs 98,629 per 1 kg.

Jateen Trivedi, VP Research Analyst – Commodity and Currency, LKP Securities said, safe-haven buying remained strong, with ETF inflows supporting the bullish sentiment. Additionally, cooling US CPI data raised expectations of a potential rate cut from the Fed, further boosting gold’s appeal. The expected trading range for gold is Rs 85,000-Rs 86,500.”

Should you buy or sell gold, silver?

According to Nirmal Bang’s technical report dated March 1g, gold prices are expected to correct. One can sell at 85700 with a stop loss of 86000 for the target at 85300-85000.

Further, on silver, Nirmal Bang’s note said, silver prices are expected to correct. One can sell at 97000 with a stop loss of 97700 for the target at 96000-95500.