Gold and silver prices are poised to sustain their positive momentum in the coming week as market participants navigate heightened geopolitical tensions and await crucial policy decisions from the United States. According to analysts quoted by PTI, the uncertainty surrounding the US Supreme Court's impending verdict on President Trump's tariff policy is expected to provide continued support for precious metals.

Key Market Drivers

Several critical factors are expected to influence precious metals trading in the upcoming week. The primary driver remains the geopolitical uncertainty stemming from various global developments, which traditionally supports safe-haven assets like gold and silver. Additionally, the pending US Supreme Court decision on tariff policies has created an atmosphere of uncertainty that typically benefits precious metals as investors seek portfolio protection.

Economic Data Releases to Watch

Traders will be closely monitoring a series of important economic data releases that could impact precious metals pricing. The week ahead features inflation data from several major economies, including the United States, India, and Germany. These inflation figures are particularly significant as they influence central bank policy decisions and currency valuations, both of which directly affect precious metals demand.

Federal Reserve and Chinese Economic Indicators

Market participants will also pay close attention to commentary from Federal Reserve officials, as their statements often provide insights into future monetary policy directions. Such commentary can significantly influence precious metals prices, particularly given the inverse relationship between interest rates and gold prices. Simultaneously, trade and investment numbers from China will be under scrutiny, as the country remains a major consumer of precious metals and a key driver of global economic sentiment.

Market Outlook

The combination of geopolitical tensions, policy uncertainty, and key economic data releases is expected to maintain the current positive sentiment for precious metals. Analysts suggest that these factors create an environment where gold and silver prices are likely to remain firm, as investors continue to seek safe-haven assets amid ongoing uncertainties in global markets.

Gold prices in India have extended their bullish momentum in 2026, delivering solid returns to investors amid a backdrop of geopolitical uncertainty and economic concerns. The precious metal's performance reflects growing safe-haven demand as global tensions escalate and recession fears mount.

Strong Price Performance in 2026

MCX gold rates have demonstrated robust growth, climbing from ₹1,35,447 to ₹1,38,875 per 10 gm, representing a 2.50% increase for investors in 2026. Current trading levels show gold quoting at ₹1,38,819 per 10 gm on MCX, consolidating after posting lifetime highs while maintaining an upward trajectory within a well-defined channel.

Key Market Drivers

Geopolitical Tensions: Rising global conflicts have intensified safe-haven demand for gold. The US attacks on Venezuela have worsened geopolitical tensions, while the absence of concrete developments regarding a peace deal in the Russia-Ukraine war continues to support precious metal demand. Market analysts note that the US-Venezuela conflict signals a potential realignment of global powers, with concerns that China may consider actions regarding Taiwan.

US Economic Concerns: The United States entered 2026 with an unemployment rate of 4.4%, following the lowest monthly pace of job gains outside a recession since 2003. This economic backdrop has triggered speculation about a potential US recession, with experts suggesting that tariff policies may be eroding the US economy's strength.

Technical Analysis and Price Targets

Market experts have identified key technical levels that could determine gold's near-term direction:

For COMEX gold futures, consolidation is occurring around the $4,500-$4,517 per ounce range after testing recent highs. Key support lies near $4,400, while a decisive breakout above $4,600 could open the path toward $4,800-$5,000.

Upcoming Supreme Court Decision

A critical event for gold markets is the anticipated US Supreme Court ruling on tariffs, scheduled for January 14, 2026. Originally expected on Friday, the decision has been postponed to Wednesday of next week. Market speculation suggests the ruling may go against the current tariff policies, potentially alleviating uncertainties related to trade wars and tariff hikes.

Investment Outlook

Market experts maintain a positive outlook for gold, citing multiple supportive factors. The overall structure remains favorable, supported by firm global prices, supportive rupee trends, and steady investment flows. The broader trend continues to favor a buy-on-dips strategy, underpinned by safe-haven demand and central bank accumulation patterns.

Analysts predict that gold prices may reach ₹1,45,000 per 10 gm once they break above the current hurdle at ₹1,40,000 per 10 gm, with the combination of geopolitical tensions and economic uncertainties creating a conducive environment for continued safe-haven demand in the short term.