Gold rate today: Following a sharp rally in international markets, the gold price in India opened with an upside gap. The MCX gold rate today opened higher at ₹1,43,079 per 10 gm and touched an intraday high of ₹1,44,434 per 10 gm within a few minutes of the Opening Bell. While climbing to this intraday high, the precious yellow metal logged an intraday gain of around 4% against its previous day’s close of ₹1,38,912 per 10 gm. In the international market, the COMEX gold rate today opened upside and reached a high of $4,633/oz. The COMEX gold rate is currently above $4,600 per ounce.
According to market experts, the gold price today is rising amid easing inflation fears as WTI crude oil prices crashed further, slipping below $90 per barrel. The US Dollar rate also tumbled after the reports of the US-Iran ceasefire. They said that a falling US dollar and easing fears of US inflation have triggered buzz about a US Fed rate cut, which is fueling gold prices today.
Easing inflation fears
On the reasons fueling the gold rate today, Anuj Gupta, a SEBI-registered market expert, said the MCX gold rate is rising today as the market is expecting a US Fed rate cut amid easing inflation fears. He said that the WTI crude oil price has fallen below $90 amid reports of a US-Iran ceasefire, leading to a crash in the US dollar against leading global currencies. The US Dollar Index is currently around 99.
US-Iran war news
According to the news agency, the Trump administration late Tuesday offered a 15-point ceasefire plan to Iran even as the U.S. military prepared to call up at least 1,000 more troops to supplement the 50,000 already in the Mideast.
The plan was submitted to Iran by intermediaries from Pakistan, who have offered to host renewed negotiations between Washington and Tehran, according to the person, who spoke on condition of anonymity because they were not authorised to speak publicly.
The New York Times was the first to report that the plan had been delivered to Iranian officials.
Outlook for gold rate today
Speaking on the outlook for gold rates today, Ponmudi R, CEO of Enrich Money, said that a sustained move above $4,550 could push the COMEX gold rate toward $4,700–$4,750. He said the MCX gold rate today has broken above the resistance range of ₹1,39,000 to ₹1,40,000 per 10 gm, and the precious yellow metal is now heading for the next target of ₹1,46,000.
“On the downside, ₹1,34,000 to ₹1,35,000 acts as immediate support. A break below this can extend the fall toward ₹1,30,000,” said Ponmudi R of Enrich Money.
However, Anuj Gupta said that MCX gold rates may not be able to break above the crucial ₹1,55,000 resistance as a falling US dollar is expected to strengthen the Indian Rupee. The national currency is expected to gain from the falling crude oil prices as well.
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
