Gold price today: MCX gold rate falls below ₹74,000 per 10 grams; silver price drops by ₹1,100
- Gold price today: Gold prices on MCX opened sharply lower tracking weakness in international bullion prices, while silver prices also dropped by more than 1%.
Gold prices on MCX opened sharply lower on Thursday tracking weakness in international bullion prices that hit a two-month low amid a stronger US dollar. Silver prices also dropped by more than 1%.
At 9:05 am, MCX gold rate traded lower by ₹609, or 0.82%, at ₹73,873 per 10 grams, while MCX silver rate was down by ₹1,067, or 1.20%, to ₹88,130 per kg.
In the international market, gold prices were flat after hitting a two-month low earlier. Spot gold was flat at $2,573.73 per ounce, after hitting its lowest level since September 19 earlier in the session, while US gold futures fell 0.3% at $2,578.00, Reuters reported.
A spike in US dollar and uncertainty regarding the pace of the Federal Reserve’s interest rate cuts pressurized the yellow metal prices.
The US dollar index, which measures the currency against six top counterparts including the euro and yen, added 0.1% to 106.55, having earlier touched 106.56 for the first time since November of last year, Reuters reported.
“Gold price saw a gap-down opening today on rising dollar and bond yields. In the international market, gold prices breached important support level of $2,585 and is heading towards $2,550 level. The trend in yellow metal prices remains bearish ahead of key economic data from the US,” said Ajay Kedia, Director, Kedia Advisory.
According to Kedia, MCX gold has support at ₹73,500 level, while it may face resistance at ₹75,600 level. Support for onternational gold price is seen at $2,550 and resistance at $2,610 level.
Meanwhile, data showed US inflation rose as expected in October, which could result in fewer interest rate cuts from the Fed next year.
Investors now await the US Producer Price Index (PPI) and weekly jobless claims report, along with comments from Fed Chair Jerome Powell, who is scheduled to speak later in the day.
(With inputs from Reuters)
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