Gold traded lower on Friday, heading for its biggest weekly drop in over three months as a stronger dollar weighed on prices. Investors are closely watching key U.S. inflation data for insights into the Federal Reserve’s monetary policy outlook.
As of 10:28 a.m., April gold futures were trading at Rs 84,732 per 10 grams on the MCX, down by Rs 478 from the previous session’s closing price. Meanwhile, May silver futures were at Rs 94,852 per kg, falling by Rs 698.
In global markets, spot gold was down 0.1% at $2,874.69 an ounce (0232 GMT), while U.S. gold futures slipped 0.3% to $2,886.80. Bullion has fallen 2% this week, marking its biggest weekly decline since November 2024 and ending an eight-week winning streak.
The dollar index was on track for a 0.7% weekly gain, making dollar-priced gold more expensive for foreign buyers.
“Today, gold prices are likely to trade lower, pressured by a stronger U.S. dollar and rising Treasury yields, while investors await a key inflation report to assess the Federal Reserve’s policy path,” said Prathamesh Mallya, Analyst at Angel One.Also Read: Bitcoin is a bubble and will blow up someday, says Jim RogersAdditionally, U.S. President Donald Trump reaffirmed that a 25% tariff on Mexican and Canadian goods will take effect on March 4, along with a 10% duty on Chinese imports. This has added to concerns over trade tensions and economic uncertainty.
Meanwhile, Philadelphia Federal Reserve Bank President Patrick Harker signaled support for keeping short-term borrowing costs within the 4.25%-4.50% range.
Gold is traditionally viewed as a hedge against inflation and geopolitical risks, but rising interest rates diminish its appeal as a non-yielding asset.
Investors are now awaiting the U.S. Personal Consumption Expenditures (PCE) data, the Fed’s preferred inflation gauge, set for release at 1:30 p.m. GMT.
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Spot silver rose 0.4% to $31.37 an ounce, platinum gained 0.3% to $951.95, and palladium edged up 0.1% to $920.34.
Gold rates in physical markets
Gold Price today in Delhi
Standard gold (22 carat) prices in Delhi stand at Rs 58,400 per 8 grams, while pure gold (24 carat) prices stand at Rs 62,352 per 8 grams.
Gold Price Today in Mumbai
Standard gold (22 carat) prices in Mumbai stand at Rs 56,888 per 8 grams, while pure gold (24 carat) prices stand at Rs 60,600 per 8 grams.
Gold Price Today in Chennai
Standard gold (22 carat) prices in Chennai stand at Rs 56,832 per 8 grams, while pure gold (24 carat) prices stand at Rs 60,584 per 8 grams.
Gold Price Today in Hyderabad
Standard gold (22 carat) prices in Hyderabad stand at Rs 57,016 per 8 grams, while pure gold (24 carat) prices stand at Rs 60,752 per 8 grams.
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