Gold prices on Multi Commodity Exchange of India (MCX) opened marginally lower on Thursday, tracking a flat trend in the international bullion prices, as investors await economic data for further triggers.
MCX gold rate opened lower at ₹1,12,469 per 10 grams, as against its previous close of ₹1,12,555. MCX silver price opened lower at ₹1,33,002 per kg as compared to its previous close of ₹1,34,002. However, silver prices rebounded quickly and traded in the green.
At 9:15 AM, MCX gold rate was trading lower by ₹122, or 0.11%, at ₹1,13,525 per 10 grams, while MCX silver price was up by ₹413, or 0.31%, at ₹1,34,415 per kg.
In the international bullion market, gold prices were steady as investors awaited key US economic data for further insights into Federal Reserve policy, with a slightly weaker dollar lending some support to bullion, Reuters reported.
Spot gold price was steady at $3,734.04 per ounce, while US gold futures for December delivery were unchanged at $3,765.20.
“The decline in the dollar index, along with the rupee slipping to all-time lows against the US dollar, further boosted bullion prices. Additional support came from robust central bank purchases and sustained inflows into ETFs. However, Fed Chair’s cautious remarks on inflation and labour market concerns suggest that a “wait-and-see” approach on further rate cuts could act as a cap on bullion’s gains,” said Rahul Kalantri, VP Commodities, Mehta Equities Ltd.
Meanwhile, the US dollar index fell 0.1%, making greenback-priced bullion less expensive for overseas buyers.
San Francisco Federal Reserve Bank President Mary Daly said on Wednesday she “fully supported” the decision by the Fed to cut its policy rate last week and expects further reductions ahead, Reuters reported.
Jigar Trivedi, Senior Research Analyst at Reliance Securities noted that gold’s safe-haven appeal remained supported by geopolitical tensions, with NATO warning Russia it would use “all necessary military and non-military measures” to defend itself, while President Trump said Ukraine could reclaim all territory held by Russia.
Gold Price Outlook
Trivedi said that MCX gold price for October futures may slip to ₹1,12,000 per 10 grams in tandem with the global bullion trend.
According to Kalantri, gold price has support at $3,715 – $3,685, while resistance is at $3,775 – $3,790. Silver price has support at $43.40 – $43.00, while resistance is at $44.15 – $44.50.
“MCX gold price has support at ₹1,13,000 – ₹1,12,380, while resistance at ₹1,14,450 – ₹1,14,900. MCX silver price has support at ₹1,33,450 – ₹1,32,750, while resistance at ₹1,35,850 – ₹1,36,600,” said Kalantri.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
