Gold's future contract rates on the Multi Commodity Exchange of India (MCX) index fell 2.44 per cent to ₹75,386 as of 10:01 p.m. on November 11. The precious yellow metal closed at ₹77,272 at the previous market close.
In the domestic markets, Gold prices slid ₹450 to ₹79,550 per 10 grams in the national capital, Delhi, on Monday amid weak trends in the international markets, reported the news agency PTI, citing data from the All India Sarafa Association.
The precious yellow metal was at ₹80,000 per 10 grams on Friday, November 8. Along with gold prices, Silver prices also fell ₹600 to ₹94,000 per kilogram on Monday against the previous close of ₹94,600 per kilogram.
The Silver Futures on the MCX index also fell 2.26 per cent to ₹89,210 per kilogram on Monday as of 10:05 p.m. on November 11, compared to ₹91,269 at the previous market close.
“Gold prices are trading lower, with Comex down, slipping from Friday's close of USD 2,685 as the strengthening dollar index exerts pressure on the yellow metal. The rise in US bond prices following Trump's election victory is contributing to the corrective trend in bullion,” Jateen Trivedi, VP Research Analyst - Commodity and Currency at LKP Securities told the news agency.
Comex gold futures also fell 0.66 per cent or $17.80 per ounce to $2,677 per ounce on Monday.
“Last week, Comex gold prices fell to a one-month low of USD 2,650.30 per ounce, as investor sentiment shifted toward risk assets following Trump's election victory and the Republican Party's successful bid to regain control of the US Senate,” said Kaynat Chainwala, AVP-Commodity Research at Kotak Securities reported the news agency.
The previous yellow metal rebounded above $2,700 after the US Federal Reserve (FED) widely anticipated a 25-basis point rate cut. However, a stronger dollar and rising Treasury yields kept gold under pressure, and it closed the week down 2 per cent at $2,694.80 per ounce, he said as per the report.
Gold resumed trading on a lower note due to a number of bearish factors, such as the strength of the US dollar, bets on less aggressive Federal Reserve interest rate cuts, and elevated US bond yields, according to Saumil Gandhi, Senior Analyst - Commodities at HDFC Securities as per the news agency.
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