Gold Price Today, Gold Price Outlook, Gold Price Forecast: Gold prices in India were trading higher in India on Tuesday, on the back of positive global cues. On Multi Commodity Exchange, gold October futures were ruling Rs 187 or 0.4 per cent up at Rs 50,620 per 10 gram. Silver December futures were ruling Rs 449 or 0.8 per cent higher at Rs 53,839 per kg on the MCX. Globally, yellow metal prices rose, buoyed by a pullback in the dollar and safe-haven buying due to economic slowdown concerns, though prospects of aggressive rate hikes capped further gains, according to Reuters. Spot gold rose 0.5% to $1,718.21 per ounce, and U.S. gold futures gained 0.5% to $1,731.30.
Navneet Damani, Sr. Vice President – Commodity & Currency Research, Motilal Oswal Financial Services
Gold prices recovered sharply from a six-week low as a worsening energy crisis in Europe drove up safe haven demand. Metal price also witnessed gains, after U.S. data showed moderate wage growth in August and a rise in unemployment rate to 3.7% suggested the labour market was starting to loosen. A rally in the dollar index also appeared to have paused, as traders await more details on the path of U.S. monetary policy. But expectations of more interest rate hikes by the Fed kept the dollar underpinned around 20-year highs. After Russia halted gas flows via a major pipeline to Europe, several EU states triggered emergency plans that could lead to energy rationing and fuelling recession fears, with inflation soaring and interest rates on the rise. The ECB is due to meet later this week, where it is expected to deliver a 75 bps interest rate hike to tame record high inflation. Market participants will focus today on U.S. Service PMI data scheduled later today. Broader trend on COMEX could be in the range of $1700-1735 and on domestic front prices could hover in the range of Rs 50,200-51,050.
Ravindra Rao, CMT, EPAT, VP- Head Commodity Research, Kotak Securities
COMEX gold trades higher near $1730/oz amid choppiness in the US dollar and bond yields post mixed US jobs report and positioning ahead of central bank decisions from Australia and European Central Bank. Also supporting gold and other commodities is China’s willingness to take additional measures to support economic activity and renewed energy concerns relating to Europe. ETF flows however show weaker investor interest. Gold’s sharp fall has made it vulnerable to short covering and we could see some extended gains as market focus shifts from Fed to other central banks as it may keep the US dollar volatile.
Tapan Patel, Senior analyst — Commodities, HDFC Securities
Gold prices traded higher on Tuesday with spot gold prices at COMEX were trading over half a percent up near $1720 per ounce in the morning trade. MCX Gold opened higher by 0.34% near Rs. 50606 per 10 gram in line with strong COMEX prices. Gold prices rebounded on safe haven buying with a surge in energy cost in Europe after Russia shut supply of Natural Gas from key pipelines. The slowdown fears in the Eurozone economy has boosted buying in the yellow metal along with a softer dollar. We expect gold prices to trade sideways to up for the day with COMEX Spot gold support at $1700 and resistance at $1740 per ounce. MCX Gold October support lies at Rs. 50200 and resistance at Rs. 50900 per 10 gram.
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