Safe-haven demand – Gold and silver climbed to a three-week high, supported by renewed safe-haven demand. Market sentiment turned cautious after U.S. President Donald Trump reacted strongly to a court decision and imposed a blanket 15% tariff on imports the maximum permitted under the law while maintaining that trade agreements with nearly 20 countries should remain intact.

Geopolitical Tensions – The U.S. and Iran are scheduled to hold another round of talks in Geneva this week. While the dialogue suggests diplomatic engagement, lingering uncertainty over Iran’s nuclear programme continues to embed a risk premium in markets, supporting bullion.

Economic Data – U.S. inflation rose more than expected in December, with indications of further acceleration in January. Persistent inflation could delay Federal Reserve rate cuts, which may cap gold’s upside. However, weaker-than-expected Q4 GDP growth at 1.4% signals economic slowing, which could ultimately reinforce expectations of monetary easing and provide underlying support to gold and silver.

Technical Triggers

As indicated in the previous report, gold has achieved the target of $5200 (~ Rs.1,60,000). This technical breakout indicates renewed bullish momentum, with prices now likely targeting the next resistance zones at $5,300 (~ Rs.1,63,000) and $5,400 (~ Rs.1,66,000).

As indicated in the previous report, silver has achieved the target of $85 (~ Rs.2,60,000). Prices are now gradually approaching the next resistance level of $90 (~Rs 270,000) and $92 (~ Rs,2,80,000).

Support and Resistance

Source:AUGMONT BULLION REPORT