Gold prices edged higher on Tuesday ahead of upcoming US economic data that could offer clues about the Federal Reserve’s interest rate decisions.
The February gold futures were trading at Rs 76,846 per 10 grams on the MCX at 10.09 am and were up by Rs 159 or 0.21% from the previous session’s closing price. Meanwhile, Silver‘s February futures were trading at Rs 91,280 per kg and were higher by Rs 395 or 0.43% around this time.
Meanwhile, spot gold was nearly unchanged at $2,636.50 per ounce, as of 0156 GMT, after falling as much as 1% on Monday. US gold futures was flat at $2,659.00.
The dollar drifted higher, making greenback-priced bullion more expensive for overseas buyers. The dollar index, which tracks the movement of the greenback against a basket of six major world currencies, rose 0.08% to 106.53 level.
Key US data this week includes the job openings due later in the day, the ADP employment report on Wednesday, and the payrolls report on Friday.
On Monday, Fed Governor Christopher Waller said with inflation still forecast to fall to 2% he is inclined “at present” to support another rate cut later this month.The comments led investors to boost expectations for a rate cut at the Fed’s December 17-18 meeting to nearly 75%.Gold tends to perform well in a low-interest-rate environment and during geopolitical uncertainty. On that front, the Israeli military recently targeted Hezbollah positions across Lebanon.
“We anticipate that gold and silver prices will remain volatile this week, influenced by fluctuations in the dollar index, the US Federal Reserve Chairman’s speech, and the upcoming US monthly job reports,” Rahul Kalantri, VP Commodities, Mehta Equities.
Gold rates in physical markets
Gold Price today in Delhi
Standard gold (22 carat) prices in Delhi stand at Rs 57,136/8 grams while pure gold (24 carat) prices stand at Rs 60,888/8 grams.
Gold Price today in Mumbai
Standard gold (22 carat) prices in Mumbai stand at Rs 56,992/8 grams while pure gold (24 carat) prices stand at Rs 60,816/8 grams.
Gold Price today in Chennai
Standard gold (22 carat) prices in Chennai stand at Rs 57,000/8 grams while pure gold (24 carat) prices stand at Rs 60,744/8 grams.
Gold Price today in Hyderabad
Standard gold (22 carat) prices in Hyderabad stand at Rs 56,816/8 grams while pure gold (24 carat) prices stand at Rs 60,560/8 grams.
(With inputs from agencies)
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)