Gold Rate Today: Gold prices extend losses amid dollar strength. Check price of yellow metal in Delhi, Ahmedabad, and other Indian cities

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Bullion prices traded in the red in Monday’s early trade, extending its weakness from the last week as the dollar held firm and investors assessed the path ahead for interest rates after the US Federal Reserve’s hawkish tone.

Following the commentary of the US Fed last week, gold prices had fallen sharply, though the yellow metal recovered from its two-month lows it hit on Thursday.

MCX August Gold futures were trading at Rs 59,251 per 10 grams in the opening trade, down Rs 103 or 0.17% while July silver futures declined Rs 18 per kg or 0.02% to Rs 72,670. (Track prices here)

On the Comex, gold futures were trading at $1,966.40 per troy ounce, down by $4.30 or 0.22% while silver futures were trading at $24.15, higher by $0.53 or 0.14%.

“It was a negative weekly closing for gold and silver in the previous week. We saw a correction in gold and silver due to the FOMC‘s statement on the expectation to hike interest rates two times in the year. But at the last trading days of the week, the ECB increased the interest rates and we observed a sharp recovery in gold and silver prices and on another hand the dollar index corrected to below 5-week low,” Anuj Gupta, Vice President (VP), Commodity and Currency Research at IIFL Securities.

Gold futures on the MCX have declined by 1.49% or Rs 895 per 10 grams in June, Gupta told ET Markets. They are up by 7.97% or Rs 4,380 on a year-to-date basis, he said. Meanwhile, silver futures have gained nearly Rs 604 or 0.84% in value terms in June and 4.83% or Rs 3,355 on a YTD basis, Gupta added.
The price of physical gold in Delhi and Ahmedabad is around Rs 61,000 per 10 grams while that of silver is Rs 73,000 per kg, the IIFL analyst said. Read More

Intraday Trading Strategy by Anuj Gupta

– Buy MCX August Gold futures at Rs 59,100 with a stop loss of Rs 58,750 and price target of Rs 59,750

– Buy MCX July Silver futures at Rs 72,200 with a stop loss of Rs 71,600 and price target of Rs 73,200.

Investors can also buy Sovereign Gold Bond which opens for subscription from today. The first tranche of the FY 2023-24 is available at an issue price of Rs 5,926 per gram while there is a discount of Rs 50 for those investors who subscribe it online.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)

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