Gold rates today fall sharply to near 11-month lows, silver rates plunge | Mint
Active Stocks
Fri Feb 23 2024 15:58:13
  1. Tata Steel share price
  2. 145.50 -0.24%
  1. State Bank Of India share price
  2. 759.40 -0.86%
  1. HDFC Bank share price
  2. 1,420.90 0.08%
  1. NTPC share price
  2. 337.70 -0.54%
  1. ITC share price
  2. 411.60 -0.65%
Business News/ Markets / Commodities/  Gold rates today fall sharply to near 11-month lows, silver rates plunge
BackBack

Gold rates today fall sharply to near 11-month lows, silver rates plunge

Gold rates in India are down ₹12,000 per 10 gram from August highs
  • Weighing on gold is general progress on vaccination front which has improved global growth outlook, say analysts
  • Gold rates today: Prices on MCX fell to ₹44365 per 10 gramPremium
    Gold rates today: Prices on MCX fell to 44365 per 10 gram

    Gold and silver prices fell sharply today in Indian markets in tandem with a similar fall in global rates. On MCX, gold futures were down 1.2% to near 11-month low of 44365 per 10 gram while silver declined 1.6% to 66,430 per kg. In Thursday's truncated session, gold prices edged 0.11% higher while silver advanced 0.2%. MCX was closed for the morning session on Thursday due to a public holiday.

    MCX gold has support at 43,450 and resistance at 45,420, says domestic brokerage Geojit.

    In global markets, gold rates fell 1.2% to $1,700.80 per ounce after a rebound in U.S. Treasury yields and the dollar index. Higher bond yields increase the opportunity cost of holding non-interest paying gold.

    "Gold prices continue to be on the bearish trap as long as it $1780 caps the upside. However, a direct drop below $1660 would trigger further liquidation pressure in the metal. Immediate upside turnaround point is seen at $1820," Geojit said in a note.

    Among other precious metals, silver rates slipped 2.4% to $25.45 an ounce

    "For silver, a direct break above $26.50 is required to continue recovery upticks. Else, prices could correct lower but breaking $23.40 would extend major bearish momentum," Geojit said.

    MCX silver has resistance at 68,800 and support at 64,400, the brokerage said.

    However, gold ETFs continued to see outflows, putting pressure on the precious metal. Holdings of SPDR Gold Trust, the the world's largest gold-backed exchange-traded fund, fell 0.5% to 1,055.27 tonnes on Thursday.

    "Also weighing on gold is general progress on vaccination front which has improved growth outlook. Gold may continue to sway along with US dollar however a sharp rise is unlikely unless bond yields correct sharply or there are fresh positive triggers," Kotak Securities said in a recent note. In August last year, gold had hit a record high of 56,200 in Indian markets, triggered by safe-haven demand amid the pandemic.

    On Thursday, the European Central Bank pledged to step up the pace of bond purchases to keep a lid on bond yields. (With Agency Inputs)

    Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

    Catch all the Commodity News and Updates on Live Mint. Check all the latest action on Budget 2024 here. Download The Mint News App to get Daily Market Updates & Live Business News.
    More Less
    Published: 12 Mar 2021, 09:09 AM IST
    Next Story footLogo
    Recommended For You
    GENIE RECOMMENDS

    Get the best recommendations on Stocks, Mutual Funds and more based on your Risk profile!

    Let’s get started
    Switch to the Mint app for fast and personalized news - Get App