Meanwhile, Silver July futures also opened higher, rising Rs 725 or 0.69% to trade at Rs 1,06,117 per kg.
On Wednesday, gold and silver settled on a weaker note in the domestic market and on a mixed note in the international markets. Gold August futures contract settled at Rs 96,704 per 10 grams with a loss of 0.20% and silver July futures contract settled at Rs 1,05,392 per kilogram with a loss of 1.27%.
Gold and silver show very high price volatility in the international markets after the US inflation data. The U.S. inflation came lower than expected, and the U.S.-China trade deal has reached a trade deal, and limited gains of precious metals.
However, the dollar index plunged after U.S. CPI data and supported the prices of precious metals. Today, the US Dollar Index, DXY, was hovering near the 98.38 mark, falling 0.25 or 0.25%.
“Gold and silver prices are also holding their support levels after a media report that Iran will hit a U.S. army base with a nuclear weapon if a deal is not finalized with the United States,” noted Manoj Kumar Jain of Prithvifinmart Commodity Research.Fresh geopolitical tensions in the Middle East could support gold and silver prices.“We expect gold and silver prices to remain volatile this week amid volatility in the dollar index, geo-political tensions and ahead of the U.S. PPI data; gold prices could hold its key support level of $3,240 per troy ounce and silver prices could also hold $34.00 per troy ounce levels on a weekly closing basis,” he added.
How to trade gold?
Manoj Kumar Jain suggested the following ranges for gold and silver on MCX:
- Gold has support at Rs 96,400-96,100 and resistance at Rs 97,200-97,750
- Silver has support at Rs 1,04,400-1,03,650 and resistance at Rs 1,06,300-1,07,500
Jain suggests buying silver around Rs 1,05,000 with a stop loss of Rs 1,04,400 for a target of Rs 1,06,650 and also suggests booking profits in gold around Rs 97,600 levels.
Gold rates in physical markets
Gold Price today in Delhi
Standard gold (22 carat) prices in Delhi stand at Rs 58,240/8 grams while pure gold (24 carat) prices stand at Rs 62,120/8 grams.
Gold Price today in Mumbai
Standard gold (22 carat) prices in Mumbai stand at Rs 56,744/8 grams while pure gold (24 carat) prices stand at Rs 56,744/8 grams.
Gold Price today in Chennai
Standard gold (22 carat) prices in Chennai stand at Rs 56,768/8 grams while pure gold (24 carat) prices stand at Rs 60,568/8 grams.
Gold Price today in Hyderabad
Standard gold (22 carat) prices in Hyderabad stand at Rs 57,216/8 grams while pure gold (24 carat) prices stand at Rs 60,960/8 grams.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
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