Gold price today: The precious yellow metal today opened with an upside gap of ₹87 and hit ₹47,660 per 10 gm mark at MCX
Gold price today opened in green zone extending yesterday's gains at Multi Commodity Exchange (MCX). The precious yellow metal today opened with an upside gap of ₹87 and hit ₹47,660 per 10 gm mark. According to the commodity experts, precious metal is trading range-bound in both domestic and international market but overall trend looks positive and hence one needs to maintain 'buy on dips strategy' till gold price at MCX is sustaining above ₹46,500 to ₹46,300 per 10 gm levels. They went on to add that currently gold price in the international market is trading in short range of $1790 per ounce to $1805 per ounce.
At MCX, gold price is trading sideways between ₹47,300 to ₹48,200 per 10 gm and one should buy the bullion metal as and when it comes below ₹47,500 mark. They strictly advised gold investors to avoid selling on rise as yellow metal rate may soon scale up to ₹49,000 once it breaks $1805 hurdle in the international market.
Speaking on the gold price outlook Anuj Gupta, Vice President — Commodities & Currency Trade at IIFL Securities said, "Currently, gold price is trading in small range of ₹47,300 to ₹48,200 per 10 gm at MCX while in the international market, its range is $1790 per ounce to $1805 per ounce. But, overall sentiment for gold price is positive and one should maintain buy on dips strategy every time gold price comes below ₹47,500 mark at MCX."
Anuj Gupta strictly advised gold buyers to avoid 'sell on rise' strategy as gold price in the international market may go up to $1820 per ounce levels once it breaks the immediate hurdle of $1805 per ounce.
Listing out the triggers that would fuel gold price rally in near future; Sugandha Sachdeva, Vice President at Religare Broking Ltd said, "Triggers that are working in favour of gold price surge in medium to long-term time-frame are — rising global inflation concern that is expected to persist further and increasing number of Corona infection cases, which includes the delta variant cases in the US, some European countries and South-East Asian nations, even though the soaring risk appetite in the international market has dimmed the appeal of yellow metal to a large extent this year."
Sugandha Sachdeva maintained that gold price has strong support at ₹46,300 to ₹46,500 levels in medium to long-term and one should continue buying on dips till the yellow metal is priced above this level. She said that the bullion metal is facing huge resistance at ₹48,500 and it would be able to break this hurdle in next one to two months.
Standing in sync with Sugandha Sachdeva; Anuj Gupta of IIFL Securities said, "In next one to two months, gold price in the international market is expected to go up to $1820 per ounce. However, if the Hong Kong crisis continues to fuel US-China friction, we may see this level in next one week to one fortnight as well." He said that in case of US-China friction getting prolonged, we may witness gold price at ₹49,000 per 10 gm at MCX by next fortnight.
Gold imports, which have a bearing on the country's current account deficit, jumped multi-fold to $7.9 billion ( ₹58,572.99 crore) during the April-June 2021 quarter due to low base effect in the wake of the COVID-19 pandemic, according to data from the Commerce Ministry. Imports of the yellow metal had plunged to $688 million ( ₹5,208.41 crore) in the corresponding period last year, the data showed. Silver imports, however, dipped by 93.7 per cent to $39.4 million. Significant increase in the gold imports has led to widening of the country's trade deficit, difference between imports and exports, to about $31 billion during April-June this fiscal.