MCX Gold Price Analysis Prediction forecast 
Gold Analysis covers:
For 2 June 2025
What should be winning strategy for gold trading tomorrow?
Analysis by Kaynat Chainwala, AVP Commodity Research, Kotak Securities)
COMEX gold (August) futures rebounded sharply on Thursday, settling above $3,343 per ounce after briefly dipping below $3,270, the lowest level in a week. The recovery was driven by a weaker US dollar and renewed dip-buying interest, amid mixed US data and rising trade policy uncertainty. Risk sentiment weakened after the Trump administration appealed a federal court ruling that declared its global tariffs illegal. Reports suggest the administration may petition the Supreme Court as early as Friday. The US dollar slipped from one-week highs following a downward revision to Q1 GDP, which showed the first quarterly contraction in three years, amid weak consumer spending and the steepest drop in corporate profits since 2020. Additionally, jobless claims rose to 240,000, with continuing claims reaching their highest level since November 2021. Today, gold is trading steady near $3,320, with investor focus shifting to upcoming US Core PCE data, University of Michigan inflation expectations, and consumer sentiment. The Core PCE Price Index, the Fed’s preferred inflation gauge, is in the spotlight as Fed officials have expressed concern about inflation, particularly from trade-related tariff risks. A cooler-than-expected PCE reading could boost expectations of a Fed rate cut.
WTI crude oil prices fell 1.5% on Thursday, closing at $60.6 per barrel, as investors turned cautious ahead of the OPEC+ meeting on Saturday, where the group is widely expected to announce a third consecutive production increase. Risk appetite was further dampened by ongoing US trade policy uncertainty. The Trump administration filed an appeal following a trade court ruling that blocked its global tariffs. A federal appeals court later granted a temporary stay, allowing time to consider the government’s case. Adding to bearish sentiment, recent US data pointed to slower economic momentum, with disappointing GDP figures and a rise in jobless claims, raising concerns about a softer demand outlook amid fears of oversupply. However, prices found some support after the EIA inventory report showed a surprise draw of 2.8 million barrels for the week ending May 23. Additionally, gasoline stocks fell by 2.4 million barrels, and distillate inventories declined by 724,000 barrels. Today, WTI crude extended losses to $60.5 per barrel, weighed down by concerns over a potentially faster-than-expected unwinding of OPEC+ output cuts.
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