Gold price today: Rates rise to above ₹120,000 per 10 grams on MCX amid US dollar pullback; silver also gains

Gold price today: The gold prices opened higher in the evening session on the Multi-Commodity Exchange (MCX) on Wednesday, November 5, amid a mild pullback in the US dollar and a firm trend in the global market.

According to the data on MCX, gold prices jumped to the day's peak of ₹120,153 per 10 grams, a growth of 0.3% or ₹287 over its last closing price of ₹119,797 on Tuesday. Silver prices jumped as much as 0.45% or ₹666 to ₹146,150 per kg.

As of 5.40 pm, MCX gold prices traded 0.21% or ₹254 higher at ₹120,051. Meanwhile, silver was up 0.24% or ₹356 at ₹145,840.

MCX was closed in the morning trade today to mark the festival of Guru Purb.

An easing US dollar makes gold cheaper for other currency holders, which spurs buying. The dollar index eased 0.1% after hitting a more than three-month high.

Meanwhile, in the international market, gains in gold prices were higher as the bullion rose 1%, with risk-off sentiment driving demand. Spot gold was up 0.8% at $3,966.54 per ounce by 1044 GMT. US gold futures for December delivery rose 0.4% to $3,976.10 per ounce, as per a Reuters report.

Gold price outlook & targets

Going ahead, analysts believe that investors are awaiting non-official economic reports, including the ADP National Employment Report due later on Wednesday, for cues on the US interest rate path.

The gold prices have moderated from record highs amid easing bets of the Fed rate cut and amid signs of thaw in tensions between the US and China. Moreover, profit-taking amid a massive rally in gold prices this year has also contributed to the weakness in bullion.

Market participants now see a 72% chance of a rate cut in December, down from over 90% before Powell's remarks, CME's FedWatch Tool showed.

Jateen Trivedi, VP Research Analyst - Commodity and Currency, LKP Securities, said that the next trigger for gold will come from Federal Reserve officials' speeches, which may provide cues on the rate outlook.

He expects gold prices to remain volatile within the range of ₹1,18,500– ₹1,24,000.

Disclaimer: This story is for educational purposes only. 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.