Gold price today: Rates drop on US-China trade deal hopes; experts unveil strategy for MCX Gold?

Gold price today: Gold prices declined in the domestic futures market on Tuesday morning amid growing optimism about a potential US-China trade deal. MCX Gold August 5 contracts traded 0.72 per cent higher at ₹96,475 per 10 grams around 9:20 AM.

Top officials from the US and China will continue trade negotiations in London for the second day on Tuesday.

"US President Donald Trump said his administration was doing well in the negotiations and noted positive reports from the talks," Reuters reported.

Investors' attention is now on the US inflation data, due on Wednesday, which will influence expectations about the interest rate trajectory of the US Federal Reserve.

"Market participants are closely monitoring the ongoing US-China trade negotiations taking place in London, alongside key inflation data set to be released this week in both India and the US," said Aksha Kamboj, Vice President, India Bullion and Jewellers Association and Executive Chairperson, Aspect Global Ventures.

"Attention is also on the upcoming long-term bond auction in the US on Thursday; a weak response could spark renewed interest in gold at lower price levels. For now, trade talks remain the primary driver of market sentiment, despite rising geopolitical tensions between Russia and Ukraine," Kamboj said.

Experts' strategy for MCX Gold

Manoj Kumar Jain of Prithvifinmart Commodity Research expects gold and silver prices to remain volatile this week amid volatility in the dollar index, geopolitical tensions and ahead of the US inflation data.

Jain said gold has support at $3,330-3,310, while resistance is at $3,374-3,400 per troy ounce, and silver has support at $36.50-36.15, while resistance is at $37.00-37.40 per troy ounce in today’s session.

MCX Gold has support at ₹96,600-96,180 and resistance at ₹97,700-98,200 while silver has support at ₹1,06,000-1,04,800 and resistance at ₹1,08,000-1,09,400, said Jain.

"We suggest buying silver around ₹1,06,500-1,06,000 with a stop loss of ₹1,04,800 for the target of ₹1,07,700-1,08,500," Jain said.

According to Rahul Kalantri, VP of commodities at Mehta Equities, gold has support at $3,280-3,265 and resistance at $3,325-3,340. Silver has support at $36.10-35.80 and resistance at $36.75-36.95.

In INR, Kalantri sees gold has support at ₹96,720-96,390 while resistance is at ₹97,350-97,640. Silver has support at ₹1,06,160-1,05,250 while resistance at ₹1,08,750-1,09,650.

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Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions, as market conditions can change rapidly, and circumstances may vary.