Gold prices opened relatively stable on the Multi Commodity Exchange of India on Tuesday, as inflationary concerns persisted, casting uncertainty over U.S. monetary policy. Meanwhile, investors maintained their attention on developments regarding the U.S.-Iran peace negotiations. Tensions, however, continue to be elevated. On Monday, Iran initiated attacks in the Gulf as a reaction to the actions taken by the U.S., with both parties competing for dominance over the Strait of Hormuz, a vital passage that generally facilitates approximately 20% of the daily global oil and gas supply. In the domestic market, MCX silver futures for July 2026 delivery experienced a decrease of Rs 632, settling at Rs 2,43,263 per kg. Gold futures for June 2026 delivery increased by Rs 611, reaching Rs 1,49,950 per 10 grams. In the prior session, silver concluded 3% lower, whereas gold decreased by 1.3%.
Furthermore, oil remains positioned above $110 per barrel, heightening concerns regarding inflation, which subsequently increases the probability of elevated interest rates. Gold, often regarded as a safeguard against inflation, finds its allure diminished in the face of rising interest rates, which enhance the attractiveness of yield-bearing assets. In the global market, gold prices experienced a modest increase in early trading, rebounding from a significant decline observed in the prior session. Spot gold increased by 0.5% to $4,541.39 per ounce as of 0230, following a decline of over 2% to its lowest point since March 31 earlier in the session. Gold futures in the U.S. for June delivery experienced an increase of 0.4%, reaching a price of $4,550.70. Among other precious metals, spot silver increased by 0.4% to $73.03 per ounce.
Manoj Kumar Jain noted that there is significant volatility being observed in precious metals. However, silver is likely to maintain support at $68.00 per troy ounce, while gold may remain above $4,440.00 per troy ounce on a closing basis this week. He anticipates that gold and silver prices will exhibit volatility due to variations in the dollar index, crude oil prices, and the prevailing uncertainty surrounding a potential U.S.-Iran peace agreement. Gold exhibits support within the $4,500-4,470 range, while encountering resistance at $4,574-4,610 per troy ounce. Silver exhibits support within the range of $72.00 to $70.00 and encounters resistance between $75.50 and $77.40 per troy ounce for the day.
On MCX, gold exhibits support levels at Rs 1,48,400-1,47,700 and encounters resistance at Rs 1,50,100-1,50,850. Silver appears to be establishing a support range between Rs 2,41,000 and Rs 2,38,800, while facing resistance in the vicinity of Rs 2,46,600 to Rs 2,50,000. He recommended exercising patience until there is greater stability before entering new positions in gold and silver, noting that prices are expected to stay within a certain range in anticipation of the U.S. non-farm payroll data due later this week.