Gold prices in India traded lower on the Multi Commodity Exchange (MCX) Thursday following a muted trend in the international spot prices. Silver prices also declined over half a percent.
At 11:00 am, gold futures for June delivery fell 0.27 percent to Rs 48,414 per 10 grams as against the previous close of Rs 48,544 and opening price of Rs 48,336 on the MCX. Silver futures traded 0.58 percent lower at Rs 71,882 per kg. The prices opened at Rs 71,750 as compared to the previous close of Rs 72,304 per kg.
“Gold and silver prices are likely to remain volatile ahead of the US flash manufacturing data. Gains in rupee and higher supply in the domestic market is pressuring the precious metal prices,” said Ajay Kedia, Director, Kedia Advisory.
International gold prices steadied on Friday, and were on track for a third straight weekly gain, as a weaker US dollar and growing inflationary pressure boosted demand for the safe-haven metal, said a Reuters report.
Spot gold was flat at $1,876.54 per ounce and has risen nearly 1.9 percent so far this week. US gold futures fell 0.3 percent to $1,876.90.
The dollar was pinned near milestone lows against its rivals and was headed for a weekly loss, while benchmark 10-year Treasury yields fell.
“Gold prices will remain rangebound below $1,900 and bias for silver looks negative below $28 level. Hence, sell on rally should be deployed. On MCX, support for gold is seen at Rs 47,700 and resistance at Rs 48,950. Silver may find support at Rs 69,800 and resistance at Rs 73,000,” Kedia added.
Meanwhile, holdings of SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, rose 0.6 percent to 1,037.09 tonnes on Thursday.
Weighing on the precious metals prices was the strength in the Indian rupee amid buying in the domestic equity market. The local currency opened higher at 72.97 per dollar on Friday against the previous close of 73.10.
Here are gold rates across major cities:
Here are silver rates across major cities:
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