Gold rate today: Gold prices have been soaring high lately amid rising expectations from US Federal Reserve to cut rate in the upcoming meeting.
MCX Gold hit an all-time high of ₹1,09,840 per 10 grams on Tuesday, September 9.
However, subdued spot demand and the absence of fresh triggers have pulled prices down by over ₹1,000, or nearly 1 per cent, within two days.
On Thursday, gold prices fell by ₹226 to ₹1,08,760 per 10 grams in the domestic futures market, mirroring weakness in global trends. On the Multi Commodity Exchange (MCX), the most active October gold futures contract dropped ₹226, or 0.21 per cent, to ₹1,08,760 per 10 grams, with a trading volume of 16,883 lots.
“Bullion traded with a steady bias and ended mixed, as cooling U.S. inflation data offered support but failed to trigger strong momentum. The U.S. PPI unexpectedly contracted by 0.1% in August. Cool-off in the U.S. PPI data supported gold and silver prices but market is broadly waiting for the CPI data and will be further directional for both precious metals. Geo-political tensions, central banks buying and Fed rate cut hopes are supporting prices of gold and silver. Gold has support at $3615-3590 while resistance at $3660-3675. Silver has support at $40.90-40.70 while resistance is at $41.40-41.65. In INR gold has support at Rs1,08,340-1,07,740 while resistance at Rs1,09,450-1,09,950. Silver has support at Rs1,23,550-1,22,750 while resistance at Rs1,25,950, 1,26,740,” said Rahul Kalantri, VP Commodities, Mehta Equities Ltd.
How rising gold prices likely to impact jewellery demand ahead of festive season?
According to World Gold Council (WGC) report, India’s gold demand in 2025 is projected to hit a five-year low, as soaring prices are discouraging jewellery purchases, outweighing the modest rise in investment demand.
Gold demand in the world’s second-biggest consumer of the precious metal could stand between 600 metric tons and 700 metric tons in 2025, the lowest since 2020, and down from last year’s 802.8 tons, Sachin Jain, CEO of WGC’s Indian operations, was quoted as saying Reuters.
Prithviraj Kothari, Managing Director of Riddi Siddhi Bullions Ltd. (RSBL), believes that Gold jewellery demand this festival season is likely to remain subdued despite strong cultural sentiment, as record prices of around ₹109,500 per 10 gm weigh on consumer appetite.
“Compared to the same period last year, prices are nearly 20–22% higher, making purchases significantly more expensive. While weddings and festivals will support some essential buying, discretionary demand is expected to weaken. Industry estimates suggest jewellery demand could fall 15–20% in volume terms, as consumers either downsize purchases or shift toward lighter designs. Urban buyers may delay purchases, while rural demand could soften due to affordability pressures amid high prices,” Kothari said.
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