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Gold Price Today: Yellow metal up by nearly Rs 600/10 gm in 2 days, silver gains by Rs 1,300/kg

Gold October futures contracts at MCX opened flat on Monday at Rs 71,766 per 10 gram, which is down by 0.02% or Rs 11 while silver September futures contracts were trading at Rs 85,001/kg, down by 0.25% or Rs 210.

In the last 2 days, the prices of gold have gained Rs 600/10 gm while silver has gained Rs 1,300 per kilogram.

On Friday, gold and silver settled on a positive note in the domestic and the international markets. Gold October futures contract settled at Rs 71,777 per 10 grams with a gain of 0.82% and silver September futures contract settled at Rs 85,211 per kilogram with a gain of 1.76%.

Gold and silver showed solid strength in the last week after the Fed Chairman gave a signal for rate cuts in his speech at the annual Jackson Hole Symposium on Friday.

“The upside risk to inflation has diminished and risks to the labor market have grown. The time has come for policy to adjust. The direction is clear but timing and pace of the rate cuts will depend on the incoming economic data,” said Jerome Powell, Fed Chairman.After his comments the dollar index slipped to 9-month lows and the U.S. 10-year bond yields also slipped below 3.80% and supported gold and silver prices.“The euro and the pound sterling also gained against the U.S. dollar and also supported precious metal prices. We expect gold and silver prices to remain positive this week amid weakness in the dollar index and the U.S. Fed rate cut hopes and it could hold its key support level of $2,464 per troy ounce and $28.20 per troy ounce respectively on a weekly closing basis,” said Manoj Kumar Jain of Prithvi Finmart Commodity Research.Today, the US Dollar Index, DXY, was hovering near the 100.68 mark, falling 0.04 or 0.04%.

Trading ranges for gold and silver by Manoj Kumar Jain:

  • At MCX, gold is having support at 71,440-71,200 and resistance at 72,040-72,330.
  • Silver has support at 84,650-84,100 and resistance at 85,850-86,400.

“We suggest buying gold on dips around 71,550 with a stop loss of 71,200 for the target of 72,200 and also suggest buying silver around 84,750 with a stop loss of 84,100 for the target of 86,400,” Jain added.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)