Gold prices in India declined today in view of weak global cues. Gold futures fall 0.3% on MCX 50,995 per 10 grams while silver fell 0.27% 61,811 per kg. In the last five sessions, gold was going through a bullish phase and remained in a limited range. The dollar strengthened on the back of fall in gold prices in global markets. Gold traders waited for the minutes of the last policy meeting of the US Federal Reserve to watch for signs of an upcoming interest rate hike by the central bank. Spot gold was down 0.5% at $1,857.39 an ounce.
The Fed is expected to release the minutes of the May 3–4 policy meeting no later than 11:30 p.m. Among other precious metals, spot silver fell 0.6% to $21.95 an ounce, while platinum fell 0.7% to $947.49.
,Sleep And as silver prices hit their highest in two weeks on Tuesday, the safe-haven metal benefited from the US dollar and weakened risk appetite as Treasury yields eased,” said Rahul Kalantri, VP Commodities, Mehta Equities Ltd. he said.
“For Gold, the $1867.22 level is an important hurdle, and above that it will test the $1888-$1900 level. Gold has support at $1852-1840, while resistance lies at $1872-1880. Silver has to face the 21.74-$1900 level. Support is at $21.55, while resistance lies at $22.28-22.48. In rupee terms, support lies at Rs.50,840-50,650, while resistance lies at Rs.51,340-51,550. Silver is at Rs.61,510-60,950, while resistance is at Rs.61,510-60,950. 62,380-62,710 is at Rs.
The dollar index strengthened after hitting its lowest level in a month in the previous session, making greenback-priced bullion more expensive for buyers holding other currencies. While gold is seen as an inflation hedge, higher short-term US interest rates increase the opportunity cost of holding non-yielding bullion.