Meanwhile, silver September futures contracts also sparkled, hitting a new all-time high of Rs 1,14,875/kg, rising by 1,874 or 1.65%.
On Friday, gold and silver settled on a positive note in the domestic and international markets. Gold August futures contract settled at Rs 97,818 per 10 grams with a gain of 1.17% and silver September futures contract settled at Rs 1,13,001 per kilogram with a gain of 3.55%.
Gold and silver skyrocket amid safe-haven buying after hefty U.S. trade tariffs reignite uncertainty in the global financial markets. Gold prices hit a 2-week high and silver prices reached its highest levels since September 2011. Gold prices strongly hold $3,280 per troy ounce levels and silver prices also hold $36.40 per troy ounce levels.
Silver outshone most commodities last week with an all-time high mark on the domestic front and hovering around $40 on COMEX.
Further, the U.S. President Donald Trump announced higher trade tariffs on various nations, including the European Union, Mexico, and Canada, effective 1st August. Global equity markets plunged after the U.S. trade tariffs and supported safe-haven buying for precious metals.“If the U.S. President remains hawkish on trade tariffs, then gold and silver could continue to move upside in the upcoming sessions,” said Manoj Kumar Jain of Prithvifinmart Commodity Research.“We expect gold and silver prices to remain volatile this week amid volatility in the global financial markets and U.S. trade tariff uncertainty and gold prices could hold its support level of $3,280 per troy ounce and silver prices could also hold $36.40 per troy ounce levels on a weekly closing basis,” he added.
Today, the US Dollar Index, DXY, was hovering near the 97.94 mark, falling 0.08 or 0.08%.
Domestic brokerage firm Motilal Oswal noted that gold speculators have cut net long positions by 1,855 contracts to 1,34,842 in the week to July 8.
“Investors now await the U.S. inflation data for June due tomorrow for more cues on the Federal Reserve’s interest rate path. Markets are currently pricing in just over 50 bps worth of Fed easing by December,” the note from Motilal Oswal added.
How to trade gold?
Manoj Kumar Jain suggested the following ranges for gold and silver on MCX:
Gold has support at Rs 97,440-97,000 and resistance at Rs 98,280-98,850
Silver has support at Rs 1,11,850-1,10,500 and resistance at Rs 1,14,000-1,16,500
Jain suggests buying gold around Rs 97,500 with a stop loss of Rs 97,080 for a target of Rs 98,600.
Gold rates in physical markets
Gold Price today in Delhi
Standard gold (22 carat) prices in Delhi stand at Rs 58,064/8 grams while pure gold (24 carat) prices stand at Rs 61,928/8 grams.
Gold Price today in Mumbai
Standard gold (22 carat) prices in Mumbai stand at Rs 57,432/8 grams while pure gold (24 carat) prices stand at Rs 61,208/8 grams.
Gold Price today in Chennai
Standard gold (22 carat) prices in Chennai stand at Rs 56,952/8 grams while pure gold (24 carat) prices stand at Rs 60,768/8 grams.
Gold Price today in Hyderabad
Standard gold (22 carat) prices in Hyderabad stand at Rs 57,152/8 grams while pure gold (24 carat) prices stand at Rs 60,936/8 grams.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
