Gold prices on Multi Commodity Exchange (MCX) opened lower on Monday, tracking weakness in the international bullion market after US President Donald Trump signalled progress on multiple trade agreements and announced extended tariff reprieves for several countries.
MCX gold rate opened 0.52% lower at ₹96,485 per 10 grams level as against its previous close of ₹96,990 level. MCX silver rate opened 0.38% lower at ₹1,08,124 per kg, as against its previous close of ₹1,08,429 level.
At 9:10 AM, MCX gold price was trading lower by ₹490, or 0.51%, at ₹96,500 per kg. MCX silver price was down by ₹143, or 0.13%, at ₹1,08,286 per kg.
In the international bullion market, gold prices dropped on dampening safe-haven demand. Spot gold price fell 0.6% to $3,314.21 per ounce, while US gold futures fell 0.6% to $3,322. Spot silver prices declined 0.8% to $36.81 per ounce.
The US is close to finalising several trade agreements in the coming days and will notify other countries of higher tariff rates by July 9, Trump said, with the higher rates scheduled to take effect on August 1.
Trump announced in April a 10% base tariff on most countries, with additional duties of up to 50%. He later postponed the effective date for all but 10% of those tariffs until July 9. The new date grants a three-week reprieve to most affected nations.
“Gold prices fell as investors assessed ongoing trade developments. The prospect of tariff extension weakened the metal’s safe-haven appeal. Meanwhile, investors now await updates on US fiscal policy, while strong labor data last week tempered expectations for a July rate cut by the Fed,” said Jigar Trivedi, Senior Research Analyst at Reliance Securities.
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