Gold price today: Yellow metal rises by Rs 120; silver near Rs 62,200

NEW DELHI: Gold and silver futures prices traded in the green on Friday, gaining support from rising anxiety over increasing cases of coronavirus Delta variant that could delay economic recovery.

The gains were, however, capped by a firmer dollar. The dollar index held near a more than a nine-month high hit on Thursday, denting gold’s appeal to holders of other currencies.

Gold futures on MCX were up 0.25 per cent, or Rs 117, at Rs 47,286 per 10 gram. Silver futures rose 0.10 per cent, or Rs 64, to Rs 62,197 per kg.

“The yellow metal fluctuated on stronger dollar and upbeat US data which raised market expectations of sooner Fed tapering. The dollar index rose to nine months highs while US 10-year treasury yields fell to 1.24 per cent keeping gold prices in range. Growing worries over rising virus cases lent support to gold prices,” said Tapan Patel, Senior Analyst (Commodities), HDFC Securities.

In the spot market, highest purity gold was sold at Rs 47,276 while silver was priced at Rs 63,341 on Friday, according to the Indian Bullion and Jewellers Association.

Trading strategy
“We expect gold prices to trade sideways to up for the day with COMEX gold support at $1,760 and resistance at $1,800 per ounce. MCX Gold October support lies at Rs 46,900 and resistance at Rs 47,500 per 10 gram,” said Patel.

Global markets
Spot gold was flat at $1,780.43 per ounce by 0056 GMT, while US gold futures was little changed at $1,782.40. Silver rose 0.1 per cent to $23.25 per ounce and was headed for a third straight weekly decline.

Platinum gained 0.5 per cent to $977.95, but it is down 4.6 per cent for the week so far. Palladium was up 0.7 per cent at $2,328.19. The metal was headed for its worst weekly performance since March 2020 falling 12.2 per cent so far.