On MCX, gold April futures were trading at Rs 42,619 per 10 grams, down Rs 169 or 0.39 per cent, while silver March futures were ruling Rs 447 or 0.94 per cent lower at Rs 47,120 per kg.
Gold prices fell on Wednesday tracking losses in the domestic equity market amid a spike in coronavirus cases in China. Gold prices closed at Rs 43,540 per 10 grams, down Rs 954 on global sell-off in the previous session. However, gold is expected to trade higher today as correction in equity market and increase in coronavirus cases in China, Anuj Gupta, Deputy Vice President – Research, Angel Broking Ltd told Financial Express Online. On MCX, gold April futures were trading at Rs 42,619 per 10 grams, down Rs 169 or 0.39 per cent, while silver March futures were ruling Rs 447 or 0.94 per cent lower at Rs 47,120 per kg.
“Global growth forecast also expected to lower. We expecting to trade higher in gold. Buy Gold April at 42400, stop loss 42150, Target-42800. Gold has strong support at 42100 and resistance at 43000 levels,” Anuj Gupta said. Spot gold was up 0.5 per cent at $1,643.49 per ounce, after having slumped as much as 1.9 per cent in the previous session. On Monday, prices touched $1,688.66, their highest in more than seven years. US gold futures eased 0.2 per cent to $1,647, as per Reuters news report.
Coronavirus virus has claimed almost 3,000 lives in mainland China but has spread to dozens of other countries. Of increasing concern to investors, however, in the rising death toll in other countries. Drastic travel restrictions slammed the brakes on China’s manufacturing and consumer spending, and there are worries other countries will face similar disruptions, Reuters reported.
On the domestic equity front, Sensex and Nifty were trading over half a per cent lower in Wednesday’s trade. S&P BSE Sensex was trading 275 points or 0.68 per cent lower at 40,006, while the broader Nifty 50 was ruling at 11,709, down 89 points or 0.75 per cent.