Gold and silver prices jumped by up to 1% in morning deals on the MCX on Thursday, 3 September, supported by easing US dollar and bond yields. MCX gold October futures were 0.75% up at ₹1,53,542 per 10 grams, while MCX silver December contracts were 0.88% up at ₹2,38,340 per kg around 9:15 AM.
US gold futures for December delivery also rose by 1% to $4,473.21 per troy ounce as the dollar index and 10-year bond yields eased, enhancing the appeal of gold as a safe-haven asset.
Investors now await the US nonfarm payrolls data, due on Friday, for cues on the US Federal Reserve's next policy move. The ADP National Employment Report showed U.S. private payrolls increased moderately in August.
"Trump’s indication that the latest strikes on Iran could be short-lived has also reduced fears of a prolonged energy shock, slowing the oil rally and easing inflation concerns. At the same time, softer US inflation signals and weaker August private payroll growth have tempered expectations of aggressive Fed tightening. Markets are now turning their attention to the upcoming US payrolls data, which could provide the next major trigger for gold," Ravi Singh, Chief Research Officer at Master Capital Services, noted.
On the geopolitical front, the hopes of a near-term peace deal between the US and Iran are dashed as they exchanged strikes.
US Central Command said in a statement on Tuesday evening that it had concluded its latest round of attacks on Iranian military targets, including air defence installations, radar systems and maritime assets.
Gold and silver: Key levels to watch
According to Singh, price structure remains weak, with the recent rejection from higher levels keeping downside pressure intact.
"The next major support is around ₹1,47,000, and the sell-on-rise strategy remains preferred while the broader setup fails to improve," said Singh.
Jateen Trivedi, VP Research Analyst - Commodity and Currency, LKP Securities, believes gold can be seen between ₹1,48,000 and ₹1,52,500.
Jigar Trivedi, Senior Research Analyst at IndusInd Securities, believes MCX gold October futures may appreciate, and ₹1,53,000 per 10 grams is resistance for intraday today, while ₹1,52,000 is support.
Manoj Kumar Jain of Prithvifinmart Commodity Research said MCX gold has support at ₹1,51,500 and ₹1,50,800 and resistance is at ₹1,53,100 and ₹1,54,000, while silver has support at ₹2,34,000 and ₹2,31,400 and resistance is at ₹2,38,000 and ₹2,41,000.
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Disclaimer: This article is for educational purposes only and does not constitute investment advice. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
