Gold price in India saw a marginal increase on Monday. On the Multi-Commodity Exchange (MCX), August gold contracts jumped 0.25 per cent to Rs 47,653 for 10 grams at 0930 hours on July 26. Silver also edged higher on Monday. The precious metal’s September future climbed 0.04 per cent to Rs 67,194 a kilogram on July 26.
Gold prices in the international market tanked on Monday. Spot gold dropped 0.1% to $1,799.89 per ounce by 0110 GMT, according to Reuters. US gold futures fell 0.2% to $1,798.90 per ounce. The dollar index inched towards to a three-month peak hit last week. As a result, yellow metal become costlier for holders of other currencies.
All eyes are on Federal Open Market Committee’s meeting this week. The experts believe that the US central bank will keep the policy rates and stance unchanged during the meeting. However, investors will look out for clues on when the U.S. central bank might rein in its easy monetary policies.
To encourage the subdued demand of yellow metal, dealers are offering heavy discounts on gold in India. Dealer discount on the precious metal in the country remained near one-month highs, according to reports.
Recommended For You
“International spot gold and silver prices have started flat to marginally higher this Monday morning in Asian trade as all eyes shift to the Federal Reserve meeting this week. The Fed’s policy meeting next week will be followed by comments from Chair Jerome Powell which could continue to suggest that the central bank would remain accommodative despite recent spikes in inflation readings. On the other hand, other data like durable goods orders and US GDP data for 2nd quarter could also drive markets. Technically, LBMA Gold has bounced back from $1790 level where its trading above $1800 level could see some upside push up to $1811-$1817 levels. Support is at $1798-1787 levels. LBMA Silver could trade within the range of $25.00-$25.80 levels,” said Sriram Iyer, senior research analyst at Reliance Securities.
“Domestic gold and silver prices could start flat to marginally higher this Monday morning, tracking overseas prices. On the domestic front, MCX gold August holds a Support near Rs 47,300-47,100 levels. Resistance is at Rs 47,700-47,900 levels. MCX Silver September holds a support near 66600 levels where it could see a resistance near Rs 67,300-68,000 levels. Support is at Rs 66,700-65,900 levels,” Iyer added.
Read all the Latest News, Breaking News and Coronavirus News here
Source: News18