Gold price today: Rates rise on mounting Trump tariffs worries; what should investors do?
MCX Gold October 3 contracts were up 0.16 per cent at ₹ 1,01,423 per 10 grams, while MCX Silver September 5 contracts were up 0.47 per cent at ₹ 1,14,187 per kg around 9:10 AM.
Trump has imposed an additional 25 per cent tariff on Indian imports, taking the total US tariff to 50 per cent. Moreover, he has hinted at the imposition of 'secondary sanctions,' which remain unclear whether they will be imposed solely on India or on other countries as well.
"The US President imposed an additional tariff of 25 per cent on India, giving an indication for imposing more tariffs on countries with which a trade deal is not yet finalised. Safe-haven buying is supporting gold and silver prices. Gold is trading near its long-term resistance of $3,454 per troy ounce, and if prices cross and sustain above these levels on a closing basis, could show further strength towards $3,480-3,509 per troy ounce," said Manoj Kumar Jain of Prithvifinmart Commodity Research.
(This is a developing story. Please check back for fresh updates.)
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Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
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Indian Express
25 minutes ago
- Indian Express
As Russian oil discount narrows, economists think India can afford import diversification
With US President Donald Trump doubling the tariff on Indian goods to 50 per cent, economists think India can afford to reduce its purchase of Russian oil due to the narrowing of the discount on offer and diversify its sourcing. From around 2 per cent prior to the invasion of Ukraine in February 2022, the share of Russian oil in India's oil imports has increased sharply to 35-40 per cent, with Indian refiners lapping up discounted Russian oil that was shunned by developed nations. However, the tariff war instigated by Donald Trump – initially with a focus on addressing the US' trade deficit with other nations – has seen the imposition of so-called secondary tariffs on India for its purchase of Russian energy and defence equipment. On July 30, Trump threatened a 25 per cent on India and an additional unspecified 'penalty' for its Russian trade. On Wednesday, the penalty was revealed to be a further 25 per cent tariff on Indian goods that will come into effect on August 27. According to Barclays economists led by Aastha Gudwani, the purchase of discounted Russian oil helped lower India's oil import bill by around $7 billion-10 billion in 2024 to $186 billion. 'As of now, the discount on oil imports from Russia having narrowed to around $3-8/barrel lower than Middle eastern grade. Media reports suggest that Indian refiners would be pushed to pivot towards traditional West Asian suppliers and new players such as Brazil to make up for lost Russian supplies, with price increases around $4-5/barrel. With global oil prices in 2025 so far settling around $9/barrel lower than 2024, such a diversification of oil supply sources is unlikely to hurt India's oil import bill,' they added. Meanwhile, Nomura economists Sonal Varma and Aurodeep Nandi estimate the implied discount on Russian crude oil for Indian refiners declined to around $2.2 per barrel in 2024-25 from over $12 per barrel in 2022-23. As such, if India chooses to reduce its purchase of Russian oil, India's annual import bill may only rise by around $1.5 billion, they calculated. Morgan Stanley economists were in agreement, estimating that the discount India got on Russian crude oil in 2024-25 was only $2-3 per barrel. To be sure, Indian refining companies began cutting their purchase of Russian oil even prior to Trump's threat of a 'penalty'. In July, India's crude imports from Russia averaged 1.6 million barrels per day, as per data from Kpler, a global trade data and analytics firm, down 24 per cent from June. However, a move by India to procure more oil from countries other than Russia could push up prices globally, which would raise the import bill. While difficult to estimate, Nomura economists think that given India imported 1.8 billion barrels of oil in 2024-25, India's annual import bill could rise by around $1.8 billion for every $1 increase in global crude prices. 'Domestically, the government will likely keep pump prices constant, which means there is likely to be minimal inflation and growth impact from any shift in oil procurement. This also means that the ultimate cost of any transition will most likely have to be borne by public sector oil marketing companies, and eventually by the government if it needs to compensate them for these under-recoveries at a later stage,' Nomura said, adding that it did not see a 'major upside risk' to the Indian government's fiscal deficit target of 4.4 per cent of GDP for the current fiscal. Meanwhile, reduced demand for Russian oil from Indian refiners, especially state-run ones, is already beginning to reflect in prices, with Homayoun Falakshahi, head of crude oil analysis at Kpler, pointing out on Wednesday that private refiners were 'still scooping barrels, but at a lower pace. Four Aframaxes are currently waiting to discharge at Jamnagar and Vadinar'. An aframax is a type of oil tanker. According to Falakshahi, India's negotiations with the US could lead to New Delhi agreeing to raise its oil and gas purchases. The energy trade between the two countries is worth around $7.5 billion a year. 'This has already started to be the case, with the country's imports of US crude on the rise lately to an average of 225 kbd (thousand barrels per day) since May, nearly twice as much the levels from early 2025. Indian refiners could realistically increase their intake of US crude by another 100 kbd to previous highs of ~300 kbd in 2021,' Falakshahi said. However, he added he was sceptical that India will be able to completely stop the import of Russian oil. Siddharth Upasani is a Deputy Associate Editor with The Indian Express. He reports primarily on data and the economy, looking for trends and changes in the former which paint a picture of the latter. Before The Indian Express, he worked at Moneycontrol and financial newswire Informist (previously called Cogencis). Outside of work, sports, fantasy football, and graphic novels keep him busy. ... Read More
NDTV
25 minutes ago
- NDTV
Deals, Drama, And Delusion: Trump's Return To World Stage Full Of Tamasha
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Vietnam Tariff Flip-Flop Vietnam thought it had a deal after its negotiators worked out a preliminary agreement with the US to substantially lower punitive tariffs to 11 per cent. But just days before the White House's self-imposed July 8 deadline, Mr Trump unilaterally raised the figure to 20 per cent during a call with Vietnam's General Secretary To Lam, who hadn't even been part of the talks. Mr Trump then announced this so-called deal on Truth Social, touting it as agreed and sealed, while in reality Vietnam never formally accepted the new terms. To date, no documentation exists to back Mr Trump's version of events, sources said, adding that Vietnamese officials were disappointed and angry, having believed they were working toward a credible agreement. Mr Trump's abrupt imposition of harsher tariffs without consensus, paperwork or process derailed trust and embarrassed the Vietnamese side, who now face domestic political fallout for a deal they never fully agreed to, sources said. 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Mr Trump openly called the trial a "witch hunt" and used his social media platform to put pressure on Brazil's democratic institutions, saying he told President Lula to "stop this nonsense" or face economic consequences. Blackmailed Columbia Into Tariffs: Deport Or Get Taxed Earlier this year, in a fresh episode of Mr Trump's coercive trade diplomacy, he threatened to slam Colombia with tariffs and sanctions, all because Bogota refused to accept two US military aircraft carrying deported Colombian nationals. Canada: "51st State Of US" In February, Mr Trump imposed a 25 per cent tariff on nearly all goods imported from Canada under the International Emergency Economic Powers Act (IEEPA), citing Canada's alleged role in the fentanyl crisis and illegal immigration as justification. The then Canadian Prime Minister Justin Trudeau called Mr Trump's tariff justification "completely bogus" and accused the US president of trying to harm the Canadian economy to facilitate annexation, a claim Mr Trump had joked about and later reiterated seriously in some contexts. Mr Trump subsequently raised tariffs on Canada to 35 per cent in mid-2025 due to perceived insufficient Canadian action to curb illicit drug flows into the US, and threatened a 40 per cent tariff on goods transhipped to evade tariffs. These unilateral tariff moves were widely criticised in Canada and internationally, seen as politically motivated, destabilising longstanding trade agreements and undermining North American economic integration. Mr Trump's remarks about annexing Canada and referring to Canadian leaders in derogatory terms contributed to the perception that his approach was more theatrical and confrontational than diplomatic, turning a bilateral relationship into a public spectacle of threats and retaliation. "White Genocide" And South Africa South Africa, a member of the BRICS grouping, has been hit with a steep 30 per cent tariff by the US, not over trade deficits, but politics and conspiracy. The move comes as Mr Trump escalates tensions with Pretoria over claims of a so-called "white genocide", a false narrative pushed by far-right circles and amplified within Trump's MAGA base, officials said. MAGA, short for Make American Great Again, is Mr Trump's campaign war cry. Instead of engaging through facts or diplomacy, Mr Trump appears to be weaponising tariffs to pander to extremist talking points, turning trade policy into a tool of political spectacle and disinformation, sources said. Brinkmanship Or Blackmail? Trump's 35% Tariff Sword Over EU In a fresh bout of economic blackmail, Mr Trump threatened a blanket 35 per cent tariff on goods from the European Union (EU) if they did not make a $600 billion investment, a demand tied to vague and shifting trade negotiations. On April 2, Mr Trump unleashed a wave of tariffs dubbed "Liberation Day," accusing the EU of "unfair trade practices." In swift retaliation, the EU announced counter-tariffs targeting politically sensitive US exports, including bourbon, Harley-Davidsons, and farm goods from key Republican states. Mr Trump's move had already slapped a 20 per cent tariff across a wide spectrum of EU imports, ranging from cars and pharmaceuticals to machinery and agriculture. By late July, Mr Trump abruptly shifted tactics, offering to reduce tariffs if the EU committed to a $600 billion investment in US infrastructure and manufacturing, a demand with no formal agreement, rationale or documentation. When the EU did not comply, Mr Trump escalated his threat to a 35 per cent blanket tariff, again without giving meaningful details or process. Trump's '100% Chip Tariffs' Hit Japan's Giants In another reckless trade salvo, Mr Trump imposed 100 per cent tariffs on semiconductor imports, hitting Japanese tech giants hard. Without warning or negotiation, Mr Trump's unilateral move threw Asia's supply chains into disarray and jeopardised key allies. Japanese giants Toyota and Honda were blindsided by the sweeping tariffs imposed by Mr Trump. Trump Strong-Arms Taiwan With Tariff Blackmail Tied To Intel Deal In another move blurring diplomacy, business and coercion, Mr Trump threatened Taiwan with a 15 per cent blanket tariff on its exports, unless the semiconductor giant TSMC agrees to buy a 49 per cent stake in Intel and pour $400 billion into the US economy. Surprise Tariff Rise For New Zealand In a sudden escalation, the Trump administration raised tariffs on New Zealand exports from 10 per cent to 15 per cent, drawing sharp criticism from Finance Minister Nicola Willis, who called it a "very blunt formula." Despite a longstanding friendship and trade imbalance already favouring the US, New Zealand has found itself penalised, highlighting Mr Trump's erratic, ally-agnostic trade playbook.
NDTV
25 minutes ago
- NDTV
Kashmir Mediation To Russian Oil: Trump's 'Un'Truth Social
New Delhi: US President Donald Trump has made several misleading or outright inaccurate statements about India -- from falsehoods regarding trade policy to the economy, Trump's remarks have frequently clashed with facts. Trump's announcement of 25 per cent additional tariffs on Indian goods triggered immediate diplomatic pushback from New Delhi and raised questions about Western consistency on Russian energy sanctions. Fact-checking Trump 1. "India Stopped Buying Russian Oil" Trump's Claim: "Well, I understand India no longer is going to be buying oil from Russia. That's what I heard. I don't know if that's right or not, but that's a good step." Fact Check: According to government sources, India continues to import Russian crude oil. 2. "India is the Tariff King" Trump's Claim: India is the "Tariff King" and an abuser of global trade rules. Fact Check: India's simple average tariff stands at 16 per cent, comparable to economies like Turkey (16.2 per cent) and Argentina (13.4 per cent). India's weighted average tariff is only 4.6 per cent. 3. "India is a Dead Economy" Trump's Claim: India is a "dead economy" and the US does "very little business" with India. Fact Check: Contrary to Trump's assertion, India remains the largest trading partner of the United States for the fourth consecutive year, with bilateral trade touching $131.84 billion in FY 2024-25. Indian exports to the US rose by 11.6 per cent, reaching $86.51 billion, and imports from the US stood at $45.33 billion. The two countries have set a target of $500 billion in bilateral trade by 2030 under the "Mission 500" roadmap. 4. Ceasefire Between India and Pakistan Trump's Claim: He personally brokered a ceasefire between India and Pakistan and prevented a nuclear conflict. Fact Check: There is no official evidence to support Trump's claim. Both Prime Minister Narendra Modi and External Affairs Minister S Jaishankar have clarified that no ceasefire was brokered by the United States. "At no stage, in any conversation with the United States, was there any linkage with trade and what was going on. Secondly, there was no talk between the Prime Minister and President Trump from the 22nd of April when President Trump called up to convey his sympathy, and the 17th of June, when he called up the Prime Minister in Canada to explain why he could not meet," Mr Jaishankar said in Parliament. 5. "1,000 Years War" Trump's Claim: "There have been tensions on that border for 1,500 years... a thousand-year fight in Kashmir." Fact Check: The India-Pakistan Kashmir conflict began in 1947 following the partition and independence of India. There is no historical basis for Trump's 1,000-year claim. Prior to 1947, Kashmir was a princely state under British rule and was not subject to the Indo-Pakistani conflict. 6. Kashmir Mediation Offer Trump's Claim: PM Modi asked him to mediate on Kashmir in 2019. Fact Check: India categorically denied that any such request was made. The Ministry of External Affairs stated: "No such request has been made by PM Modi to the US President. It has been India's consistent position that all outstanding issues with Pakistan are discussed only bilaterally." 7. "India Got A Sweeter Paris Deal" Trump's Claim: India got a "sweeter deal" under the Paris Climate Accord, which justified his withdrawal. Fact Check: India is the first G20 country to have met its Paris Climate Agreement targets. India's nationally determined contributions (NDCs) have been praised by international climate monitors. 8. "India is Taking American Jobs" Trump's Claim: "India is taking our jobs... It's not going to happen anymore, folks." Fact Check: Indian companies have created over 425,000 jobs in the United States, with $40 billion invested as per a 2023 Confederation of Indian Industry report. Additionally, Indian students contributed $7.7 billion annually to the US economy between 2019 and 2023. Indian-origin CEOs head major US. firms, including Google, Microsoft, IBM, and Adobe-driving American innovation and competitiveness.
