Gold rate today: Gold prices have plunged over Rs 6,500 from all time high; where is the yellow metal headed?
Gold rate today: Gold June futures on MCX began trading lower on Tuesday, opening at Rs 92,965/10 grams, showing a decrease of Rs 332 or 0.36%. Similarly, silver July futures declined to Rs 95,172/kg, representing a reduction of Rs 281 or 0.29%.Gold prices have seen a total decline of Rs 6,513 from its highest point of Rs 99,358/10 grams. Despite significant price fluctuations over the past week, the overall trend has remained relatively stable.In international markets, early Monday trading saw gold and silver reaching higher resistance points following Moody’s US credit rating downgrade on Friday. However, the rally proved unsustainable, with prices falling below $3,320 and $32.20 per ounce as increased optimism about potential Russia-Ukraine peace talks reduced the demand for safe-haven assets.Monday’s trading concluded positively in both domestic and international markets. Gold June futures finished at Rs 93,297 per 10 grams, gaining 0.93%, whilst silver July futures ended at Rs 95,453 per kilogram, up by 0.14%.Moody’s has expressed worries about increasing US debt levels, leading to a rating downgrade from ‘Aaa’ to ‘Aa1’. This development has prompted renewed interest in precious metals as safe-haven investments.The dollar index experienced a significant decline, testing the 100 mark, which provided support to gold and silver prices. The US Dollar Index (DXY) was trading around 100.36, showing a decrease of 0.07 or 0.07%.“The Russia-Ukraine peace deal hopes amid the U.S. President’s efforts to finalise the ceasefire deal between both nations could limit gains of gold and silver,” said Manoj Kumar Jain of Prithvifinmart Commodity Research, according to an ET report.He believes that gold and silver prices are likely to exhibit fluctuations this week, influenced by the unstable dollar index and potential developments in Russia-Ukraine peace negotiations. The precious metals are likely to maintain their respective support levels, with gold staying above $3,120 per troy ounce whilst silver remaining firm at $31.40 per troy ounce levels, he said.Manoj Kumar Jain outlines the following price levels for MCX trading:* Gold’s support levels are positioned at Rs 92,750-92,200, whilst resistance stands at Rs 93,850-94,400* Silver’s support levels are at Rs 94,800-94,000, with resistance at Rs 96,000-96,650.He recommends purchasing silver near Rs 94,800, setting a stop loss at Rs 94,150, aiming for Rs 96,100.(Disclaimer: Recommendations and views on the stock market and other asset classes given by experts are their own. These opinions do not represent the views of The Times of India)
