NEW DELHI: Gold prices in India were almost flat on Thursday, following global trends. Investors were largely on the sidelines awaiting US non-farm payrolls print that is crucial for the Federal Reserve’s tapering timeline.
Gold futures on MCX were marginally down 0.02 per cent, or Rs 10, at Rs 47,058 per 10 gram. Silver futures, too, slightly declined 0.03 per cent, or Rs 16, at Rs 63,824 per kg.
The yellow metal hovered in the upper trading range on mixed global cues. Gold prices eased from previous highs awaiting the US job market report on Friday. The dollar index was trading marginally up, limiting gains in gold prices.
Ravindra Rao, CMT, EPAT, VP – Head of Commodity Research at Kotak Securities, said gold is range-bound amid continuing debate over Fed’s monetary policy.
“Also support from virus concerns, mixed economic data from major economies and tensions in Afghanistan is countered by continuing ETF outflows and general positive trend in equities. Gold may remain volatile amid Fed uncertainty but global growth and inflation concerns may continue to support,” he added.
Physical gold demand in India has remained subdued recently as jewellers held off purchases, hoping for a dip in prices.
In the spot market, highest purity gold was sold at Rs 47,279 per 10 gram while silver was priced at Rs 63,072 per kg on Tuesday, according to the Indian Bullion and Jewellers Association.
The spot price of the yellow metal has remained flat in last two weeks, whereas silver has gained more than Rs 800 during the period under review.
Gold somehow manages to trade above the key momentum indicators. Market participants are eyeing employment data to be released on Friday which is expected to come lower than expected, said Sandeep Matta, founder, TRADEIT Investment Advisor.
“We expect gold prices to trade sideways to up for the day with COMEX Spot gold support at $1,795 and resistance at $1,833 per ounce. MCX Gold October support lies at Rs 46,800 and resistance at Rs 47,400 per 10 gram,” said Tapan Patel, Senior Analyst (Commodities), HDFC Securities.
Spot gold was steady at $1,811.66 per ounce, as of 0341 GMT. US gold futures were steady at $1,814.30.
Among other precious metals, silver fell 0.3% to $24.10 per ounce, while platinum was down 0.7% at $995.52. Palladium eased 0.2% to $2,438.55.