Gold prices extend losses to second day, trades near Rs 98,500/10gm. Analysts flag further downside
Mirroring the equity market sentiment, Gold October futures on MCX traded weak on Friday, hovering around Rs 98,460 per 10 grams, down Rs 309 or 0.31%, amid profit booking.
Meanwhile, Silver September futures also edged lower by Rs 174 or 0.16% to Rs 1,09,798 per kilogram.
On Thursday, both gold and silver closed weaker in domestic and international markets. Gold October futures settled at Rs 98,769 per 10 grams, down 0.22%, while Silver September futures ended at Rs 1,09,972 per kg, slipping 2.56%.
The decline extended in a volatile session, triggered by a stronger U.S. dollar index, which hit a fresh two-month high after better-than-expected Q2 GDP data. The U.S. Fed’s decision to keep rates unchanged, along with hawkish comments on future cuts, added to the pressure.
“The Fed Chairman’s remarks reduced the likelihood of a rate cut in September, dragging gold and silver prices to four-week lows amid U.S. tariff uncertainty and dollar strength,” said Manoj Kumar Jain of Prithvifinmart Commodity Research.
As of now, the U.S. Dollar Index (DXY) is trading flat near the 99.97 mark.New U.S. tariff rules on copper have further pressured silver, while slower demand projections for H2 2025, according to WGC reports, have weighed on gold.“We expect gold and silver prices to remain volatile in today’s session amid volatility in the global financial markets, ahead of the U.S. job data and the U.S. trade tariff uncertainty and gold prices could test its support level of $3,280 per troy ounce and silver prices could also test $36.40 per troy ounce levels in the upcoming session,” Jain added.
How to trade gold?
Manoj Kumar Jain suggested the following ranges for gold and silver on MCX:
- Gold has support at Rs 98,440-98,080 and resistance at Rs 99,100-99,380
- Silver has support at Rs 1,09,000-1,08,200 and resistance at Rs 1,11,000-1,12,200
Jain suggests selling gold around Rs 99,100 for a target of Rs 98,400-98,100 with a stop loss of Rs 99,550 and maintains his selling view on gold futures contracts for the given targets.
Gold rates in physical markets
Gold Price today in DelhiStandard gold (22 carat) prices in Delhi stand at Rs 58,344/8 grams while pure gold (24 carat) prices stand at Rs 62,216/8 grams.
Gold Price today in Mumbai
Standard gold (22 carat) prices in Mumbai stand at Rs 56,848/8 grams while pure gold (24 carat) prices stand at Rs 60,584/8 grams.
Gold Price today in Chennai
Standard gold (22 carat) prices in Chennai stand at Rs 56,896/8 grams while pure gold (24 carat) prices stand at Rs 60,584/8 grams.
Gold Price today in Hyderabad
Standard gold (22 carat) prices in Hyderabad stand at Rs 57,152/8 grams while pure gold (24 carat) prices stand at Rs 60,952/8 grams.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)