Gold prices in India experienced a brief dip below the psychologically important ₹1.60 lakh mark on the Multi Commodity Exchange (MCX), with April 2026 futures touching an intraday low of ₹1,59,764 per 10 grams before recovering. The yellow metal has now entered a phase of consolidation after charging to record highs close to ₹1.73 lakh earlier this year.

The pullback is not a sign of weakness, analysts say, but rather a natural correction following a sharp rally driven by safe-haven buying. The US-Iran war, now nearly two weeks old with no signs of de-escalation, continues to be the dominant macro factor. The ongoing blockade of the Strait of Hormuz has disrupted approximately a quarter of global oil supply, pushing Brent crude close to $100 per barrel and stoking inflation fears worldwide.

Paradoxically, the very war that ignited gold's record surge is now creating short-term headwinds. A stronger US dollar, buoyed by rising Treasury yields and inflation expectations, has made dollar-priced bullion more expensive for foreign buyers, suppressing demand temporarily. Profit-booking by traders after the recent record run has added further pressure.

On international markets, COMEX spot gold hovered around $5,118 per ounce, while technical analysts place MCX support between ₹1,56,000 and ₹1,57,000, with resistance at ₹1,75,000–₹1,80,000 on the upside.

Is it a good time to buy? Most market experts lean toward yes, with caution. The medium- to long-term outlook remains firmly bullish, backed by persistent geopolitical risk, central bank gold demand, and inflation hedging. Major banks including J.P. Morgan and Deutsche Bank have set year-end global targets as high as $6,000–$6,300 per ounce.

For long-term investors, the current dip may represent a strategic entry point. Short-term traders, however, should brace for continued volatility as the war and dollar dynamics play out.