Gold October futures reached a record high of Rs 1,12,419 per 10 grams on Tuesday, increasing by Rs 8,124 or 0.11% in early trading. The precious metal has surpassed prior peaks, underscoring robust bullish sentiment in the context of ongoing safe-haven demand in anticipation of the Fed Chairman’s address.
With today’s high, gold October futures have now surged over Rs 23,000 from their lifetime low of Rs 88,400 — reflecting a remarkable rally propelled by global uncertainty and investor confidence. Silver December futures on MCX commenced the day with a subdued performance, trading at Rs 1,33,531/kg, reflecting a decline of 0.02% at Rs 24. On Monday, gold and silver concluded the trading session on a positive note in both the domestic and international markets. The October futures contract for gold concluded at Rs 1,12,230 per 10 grams, reflecting an increase of 1.17%. Meanwhile, the December futures contract for silver settled at Rs 1,33,555 per kilogram, marking a rise of 2.86%.
Gold and silver continued to rise, achieving new highs in anticipation of the Fed Chairman’s speech. Gold prices reached an all-time high, while silver prices achieved a 14-and-a-half-year peak in international markets, with both precious metals establishing new record highs domestically. “The Fed cut interest rates by 25 basis points last week and the market is widely expecting 50 basis points more cuts by the end of this year,” noted Manoj Kumar Jain. “Robust global central banks buying, increasing ETF inflow, and safe-haven buying continue to support gold and silver prices.” Gold and silver prices are anticipated to exhibit volatility this week, influenced by fluctuations in the dollar index and the broader global financial markets, as well as in anticipation of the U.S. core PCE price index data.
Gold is projected to trade within a range of $3,654-3,840 per troy ounce, while silver is expected to fluctuate between $42.40-45.50 per troy ounce during this period. The dollar index is failing to maintain elevated levels, while the rupee is depreciating against key global currencies, thereby bolstering the prices of gold and silver. Today, the US Dollar Index was hovering near the 97.36 mark, gaining 0.03 or 0.03%.