Gold Price Today: Yellow metal near 3-week low, down Rs 11K from peak. Is this just a dip or start of a bigger slide?
Gold prices on the MCX on Monday traded near their 3-week low, opening at Rs 1,21,284/10 grams, down by Rs 224 or 0.18% on Monday. The prices of the yellow metal are now trading Rs 11,000 below their peak of Rs 1,32,294/10 grams, hit on October 17.
Silver prices, however, witnessed strength, opening higher by Rs 1,087 or 0.73% at Rs 1,49,374/kg.
In the international market, Gold prices slipped on Monday, pressured by a stronger dollar as investors dialed back bets for further Federal Reserve rate cuts following Chair Jerome Powell’s hawkish remarks last week, while easing U.S.-China trade tensions also weighed on bullion.
Spot gold was down 0.8% at $3,968.76 per ounce, as of 0016 GMT. U.S. gold futures for December delivery slipped 0.5% to $3,978.30 per ounce.
On Friday, gold and silver settled on a weaker note in the domestic and international markets. Gold December futures contract settled at Rs 1,21,232 per 10 grams with a loss of 0.23% and silver December futures contract settled at Rs 1,48,287 per kilogram with a loss of 0.37%.
Gold and silver showed very high volatility last week and slipped from their highs after easing US-China trade tensions and strong gains in the dollar index. The dollar index surged to 3-month highs and the U.S. 10-year bond yields also crossed 4.0% levels and easing safe-haven buying for precious metals.Today, the US Dollar Index, DXY, was hovering near the 99.76 mark, falling 0.05 or 0.05%.“The Fed Chairman also said that there is no guarantee for interest rate cuts in December policy meetings and also limits gains of precious metals. However, global central banks buying and global uncertainty is supporting gold and silver prices,” said Manoj Kumar Jain of Prithvifinmart Commodity Research.
“We expect gold and silver prices to remain volatile this week amid volatility in the dollar index, volatility in the global financial markets and US-China trade deal updates and gold are expected to trade in the range of $3,870-4,140 per troy ounce and silver is expected to trade in the range of $46.50.00-50.50 per troy ounce this week,” he added.
How to trade gold?
Manoj Kumar Jain suggested the following ranges for gold and silver on MCX:
- Gold has support at Rs 1,20,600-1,19,800 and resistance at Rs 1,22,000-1,22,700
- Silver has support at Rs 1,47,000-1,45,500 and resistance at Rs 1,50,000-1,51,500
Jain suggests buying gold on dips around Rs 1,20,400 with a stop loss of Rs 1,19,350 for a target of Rs 1,22,000 and also suggests buying silver around Rs 1,47,000-1,46,000 range with a stop loss of Rs 1,44,400 for a target of Rs 1,50,000-1,51,500.
Gold rates in physical markets
Gold Price today in Delhi
Standard gold (22 carat) prices in Delhi stand at Rs 91,808/8 grams while pure gold (24 carat) prices stand at Rs 98,736/8 grams.
Gold Price today in Mumbai
Standard gold (22 carat) prices in Mumbai stand at Rs 90,296/8 grams while pure gold (24 carat) prices stand at Rs 97,096/8 grams.
Gold Price today in Chennai
Standard gold (22 carat) prices in Chennai stand at Rs 90,176/8 grams while pure gold (24 carat) prices stand at Rs 96,992/8 grams.
Gold Price today in Hyderabad
Standard gold (22 carat) prices in Hyderabad stand at Rs 90,392/8 grams while pure gold (24 carat) prices stand at Rs 97,240/8 grams.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)