Gold prices today fall for fourth day in a row, silver rates slump

Gold prices today fell in Indian markets, extending their fall to the fourth day. . On MCX, gold April gold futures fell 0.17% to ₹42,314 per 10 gram, tracking an advance in global rates. Silver futures on MCX slumped over 2% or ₹1,100 per kg to ₹45,527. From Monday's record high level of ₹43,788 gold prices in India have come off about ₹1,500 per 10 gram amid some profit-taking and decline in global rates from higher levels.

April gold futures can can recover towards ₹42,900 while taking support near ₹42400 while silver futures (May) can recover towards ₹46,800 while taking support near ₹46,200, SMC Global said in a note.

In global markets, gold prices inched higher on Friday amid mounting worries that the rapidly spreading coronavirus could turn into a pandemic and derail global economic growth.

Spot gold gained 0.2% to $1,645.79 per ounce. Meanwhile, global equities are headed for the worst week since the world financial crisis in 2008 as investors ditch risky assets in favour of safe-haven assets like gold and government bonds.

Among other precious metals, palladium slipped 0.1% to $2,840.73 an ounce while silver rose 0.6% to $17.81 per ounce.

"As more cases of coronavirus are being reported in countries other than China, the safe haven demand has continued to grow," said Jigar Trivedi, research analyst at Anand Rathi Shares & Stock Brokers.

Moody's Analytics has cautioned that a pandemic would result in global and US recessions during the first half of this year.

Meanwhile, Goldman Sachs has boosted its gold forecast to $1,800 an ounce as the coronavirus, depressed real rates and increased focus on the US election continue to drive demand for the metal as a haven.

(With Agency Inputs)