NEW DELHI: Gold prices were unchanged in Tuesday’s session as a weaker US dollar offset firm bond yields.
Gold futures on MCX were trading lower by 0.04 per cent or Rs 18 at Rs 48,000 per 10 grams. Silver futures were down 0.18 per cent or Rs 114 at Rs 64,767 per kg.
Ravi Singh, Vice President & Head of Research, Share India said that the drop in US bond yields after the dovish approach of the Fed on monetary tightening pulled gold prices higher. “The inflation concerns have increased the safe-haven appeal and supporting the prices. Although, the improved US jobs report, strong equity markets and ETF outflows have put downward pressure on gold, making it range-bound,” he said.
In the spot market, the highest purity gold was sold at Rs 48,047 per 10 grams while silver was priced at Rs 64,537 per kg on Monday, according to the Indian Bullion and Jewellers Association.
The spot price of gold has jumped about Rs 350 per 10 grams compared to the previous session, whereas silver has shed about Rs 1,000 per kg during the period under review.
Trading strategy
“We expect gold prices to trade sideways to up for the day with COMEX Spot gold support at $1800 and resistance at $1833/1850 per ounce. MCX Gold December support lies at Rs 47800 and resistance at Rs 48400 per 10 grams,” said Tapan Patel, Senior Analyst (Commodities), HDFC Securities.
Global markets
Spot gold was little changed at $1,823.53 per ounce by 0051 GMT. US gold futures fell 0.1 per cent to $1,825.80.
Spot silver fell 0.1 per cent to $24.42 per ounce. Platinum dropped 0.4 per cent to $1,052.28 and palladium climbed 0.2 per cent to $2,074.06.