Gold Rates Today: MCX gold rises for third straight session, gains ₹1,870 per 10 grams on safe haven buying

Gold prices remained higher for the third straight session on Monday, December 15, reaching another historic peak on MCX as investors weighed expectations of looser US monetary policy next year and persistent geopolitical risks, which are keeping pressure on the US dollar, thus boosting gold’s safe-haven appeal.

The February futures contract on MCX opened higher at ₹1,34,204 per 10 grams, compared to the previous close of ₹1,33,622, and maintained momentum to touch another record high of ₹1,35,496 per 10 grams. This brought the year-to-date rally to 75.5%, putting the yellow metal on track for its biggest annual gain since 1979.

By 8:10 PM IST, MCX gold was trading ₹1,081, or 0.80%, higher at ₹1,34,689 per 10 grams. Spot gold prices also edged higher, rising 0.55% to $4,323 per ounce.

Silver prices also extended the rally, with March futures contracts surging nearly ₹6,000 per kilo to reach ₹1,99,500. Last week, the prices crossed ₹2 lakh for the first time, reaching a record peak of ₹2,01,615. So far in 2025, prices have risen by 130%, nearly double the gain of gold.

Safe-haven gold supported by global tensions and weak dollar

The uncertainty surrounding peace talks in Eastern Europe, along with tensions in the Middle East and Latin America, has reinforced gold’s appeal as a safe haven.

The US dollar, which measures the currency against six major peers, hovered near a two-month low reached last week, making greenback-priced gold more affordable for overseas buyers, while benchmark 10-year US Treasury yields edged lower. Non-yielding assets such as gold typically benefit in a lower interest rate environment.

Investors are also looking ahead to upcoming US economic data this week, which could indicate the prospect of the Federal Reserve’s rate cut path.

November nonfarm payroll figures are set for release on Tuesday, along with October retail sales figures. These reports were delayed due to the US government shutdown in the fall. The November consumer price index is due out on Thursday.

The US Federal Reserve last week delivered a 25-basis-point rate cut in a divided vote, with further easing dependent on labor market and inflation levels.

Gold prices near term outlook

The continued rally in gold prices, according to Jateen Trivedi, VP Research Analyst, Commodity and Currency, LKP Securities, is being driven by renewed safe-haven demand and expectations around upcoming US economic data.

"With Non-Farm Payrolls and the Core PCE Price Index scheduled this week, focus has firmly shifted to US macro cues, which are expected to keep volatility elevated. Gold prices are now seen trading in a higher range between ₹1,33,000 and ₹1,36,500," he further added.

Axis Securities said the metal has been forming higher highs and higher lows over the past few months, signaling a positive trend for prices. On the weekly chart, it is comfortably placed above the 9- and 60-day EMAs, which indicate that momentum is strong on the upside. They expect the yellow metal to trade with a positive bias as long as the ₹1,25,000 level holds on the downside.

It recommends buying MCX Gold around ₹1,31,600, with a stop loss below ₹1,28,000 and targets of ₹1,35,000 and ₹1,37,000.

(With inputs from Reuters)

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