In the Indian bullion market on Friday, gold prices exhibited divergent trends. MCX gold futures for delivery on February 5, 2026, experienced a decline of Rs 216, or 0.17%, settling at Rs 1,29,862 per 10 grams. Gold prices in the international markets remained relatively stable in early Friday trade, as increasing U.S. Treasury yields countered the support from a weaker dollar. Meanwhile, investors focused on forthcoming U.S. inflation data for additional insights into the Federal Reserve’s policy direction ahead of its meeting next week.
As of 0047, spot gold experienced a slight decline of 0.1%, settling at $4,203.89 per ounce, whereas U.S. gold futures for December delivery decreased by 0.2%, reaching $4,233.60 per ounce. Benchmark 10-year U.S. Treasury yields experienced a slight decline, yet they continued to hover close to a high not seen in over two weeks. The U.S. dollar, in the interim, experienced a slight uptick while remaining near one-month lows. Today, the US Dollar Index was hovering near the 99.02 mark, falling 0.05 or 0.05%.
Data released on Thursday indicated that initial jobless claims in the U.S. fell to 191,000 last week, marking the lowest level in over three years and significantly below the consensus estimate of 220,000. Conversely, the ADP employment report released on Wednesday indicated a decrease of 32,000 in private payrolls for November, representing the most significant drop in over two and a half years. A poll indicates that the Fed is expected to reduce its key interest rate by 25 basis points during the policy meeting on December 9–10, in an effort to bolster a cooling labor market.
Markets are currently anticipating the forthcoming release of the postponed September Personal Consumption Expenditures Index — the central bank’s favored measure of inflation — later today, seeking further clarity on the Fed’s forthcoming actions. Lower interest rates generally favor non-yielding assets such as gold, and market participants will be monitoring the inflation data for possible effects on the metal’s short-term direction.