Gold prices: The dollar has reached its three -year low after President Donald Trump has constantly pressurized the US Federal Reserve to cut interest rates. In such a situation, global investors are withdrawing money from the American stock market. Due to this, there has been a record boom in gold prices.

Global Reserve currency reached the lower level

Trump criticized Fed Chairman Jerome Pavel last week. Trump’s threat was considered a threat to Fed’s freedom. As a result, the pressure on the dollar increased and he came to a three -year low. US dollar demand has increased in the last few years. It has also performed better than the rest of the world.

Amidst global geopolitical uncertainties, investors considered investment safe in it. Anyway, the dollar is considered a global reserve currency, but the American tariff policy has shaken the global market and the trust of investors in dollars assets has reduced. The US stock market has declined by about 11 percent, and from January this year, the US dollar has declined by more than 9 %.

Investors trust with dollar

After Trump’s threat to Jerome Pavel, the dollar index reached the 97.92 level, which is the lowest level since March 2022. The currency has reached a decade low in a decade compared to Swiss Frank and the euro reached a three -year high. The Indian rupee also strengthened and recovered from an all -time low level of $ 87.99 to $ 85 per dollar last week.

So far this year, the price of gold in both domestic and foreign markets has increased by more than 30 percent, as its tariff policy and its uncertainty on business policies has eliminated confidence in dollar assets, increasing demand for traditional safe goods like gold.

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The price of gold was a decline for 4 consecutive days. But now the prices of gold will not fall, but are ready to reach the sky. Experts believe that there is a decision of America and China behind it. Talking about today, there was a tremendous jump in gold prices in the US.

Gold in the US reached $ 3,007.79 an ounce. It is about Rs 2,51087.37 lakh in Indian rupees. It saw a rise of $ 40.58 in just 24 hours. In such a situation, it is coming out in many reports that in the coming time the price of gold can increase at the speed of rocket.

How to increase gold prices

Tension is increasing in China and America regarding Donald Trump’s tariff policy. Actually, Trump had imposed the most tariff on China while announcing the reciperook tariff. In response, China imposed a tariff of 34 percent on the US. Angered by this action of China, Trump threatened to impose 50 percent tariff on Chinese imports.

Trump’s threat caused China further angry and reacted sharply to it. Experts believe that if the situation remains the same, then in the coming time, this fight can turn into a trade war. If this happens, gold will become the best option of investment and people will invest fiercely in gold. This will happen that the demand for gold will increase and its prices will reach the sky. Apart from this, the expectation of tension in Eastern Europe and Middle East, rising inflation and interest rates in the US can also increase gold prices at the speed of the pill.

Gold prices increased in India too

There was a tremendous bounce in the gold futures on India’s Multi Committee Exchange (MCX). The gold futures with June 2025 delivery were traded at Rs 87,979, a gain of 1.21 per cent or Rs 1,051, which is quite above the closing price of 86,928 on Monday.

What do big banks have to say?

The price of gold is going to reach the sky, they are not only common people, but also the top banks and analysts from all over the world. HSBC has increased its gold price estimate to $ 3,015 an ounce for 2025. While the bank of America is even more bullish, it believes that gold can go up to $ 3,063 an ounce. The report of Standard Chartered says that gold can also touch the $ 3,300 mark in the second quarter.

Central banks are also doing gold hoarding

You will be surprised to know that not only investors, but also central banks from all over the world are busy buying gold. Countries like China, India and Russia are increasing their gold reserve to reduce dependency on dollars. Due to this, demand in the market has increased further and prices are climbing. According to the report of World Gold Council, in 2025 also Central Banks can procure gold at record levels like 2023 and 2024.

If the interest rates decrease, the price of gold will increase further

America’s central bank may reduce interest rates at least twice this year. Gold will get direct benefit of this. Because when interest rates fall, investments with fixed income (such as bonds) look less attractive and the demand for gold increases. That is, it is also expected to reach the sky prices.

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