Gold Price Today: Gold prices fall by Rs 700/10 gm in 3days, silver dips by Rs 500/kg

Gold December futures contracts at MCX opened flat today at Rs 75,553 per 10 gram, which is down by 0.08% or Rs 58 while silver December futures contracts were trading at Rs 90,906/kg, up by 0.21% or Rs 187.

Gold and silver prices witnessed some profit booking in the last 3 sessions with the former dipping by Rs 700 per 10 grams while the latter is down by Rs 500/kg.

On Monday, gold and silver settled on a weaker note in the domestic and international markets. Gold December futures contract settled at Rs75,611 per 10 grams with a loss of 0.14% and silver December futures contract settled at Rs90,719 per kilogram with a loss of 0.74%.

Gold and silver extended its fall amid rebound in the dollar index and routine profit taking. Gold and silver are largely in the uptrend but market participants are booking profits at higher levels.

The U.S. Fed Chairman’s tone in his first speech post 50 basis point rate cuts was very soft and his guidance on the monetary policy is further neutralizing interest rates based on the upcoming economic data. He said, we will review monetary policies meeting by meeting looking at the upcoming economic data but confident that the economy is in good shape as the job market is strong and inflation is moving towards the Fed’s target rate of 2.0%.

Today, the US Dollar Index, DXY, was hovering near the 100.78 mark, trading flat.“Further rate cut expectations and geo-political tensions could support gold and silver prices. We expect gold and silver prices to remain volatile this week amid volatility in the dollar index, geo-political tensions and ahead of the U.S. job data but it is expected to hold its support level of $2,600 and $30.40 per troy ounce respectively on a weekly closing basis” said Manoj Kumar Jain of Prithvifinmart Commodity Research.

Ranges for gold and silver by Manoj Kumar Jain:

• At MCX, gold has support at Rs 75,380-75,140 and resistance at Rs 75,850-76,100.
• Silver has support at Rs 90,150-89,400 and resistance at Rs 91,350-92,100.

“We suggest waiting for some corrective dips for initiating fresh positions in the gold and silver,” Jain added.

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