Gold Price in India: Gold futures traded lower on Wednesday, October 6, as prices of the yellow metal reflect weaker international rates on a stronger US dollar. On the Multi Commodity Exchange (MCX), gold futures, due for delivery on December 3, were trading lower by Rs 151 or 0.32 per cent at Rs 46,606, down by Rs 151 or 0.32 per cent from the previous close of Rs 46,757. Silver for delivery on December 3 was down 0.5 per cent at Rs 60.683, from the previous Rs 60.986.
— IBJA (@IBJA1919) October 6, 2021
According to Mumbai-based industry body India Bullion and Jewelers Association (IBJA), domestic spot gold on Wednesday opened at Rs 46,604 per 10 grams and silver at Rs 60,516 per kg.
Foreign exchange rate:
On Wednesday, the rupee fell 21 paise to 74.65 against the dollar in early trade, tracking a strong US currency and rising crude oil prices in the overseas market. Gold is a hedge against inflation and rises inches higher against a dollar.
What Analysts Say:
Ravindra Rao, CMT, EPAT, VP- Commodity Research Head at Kotak Securities:
COMEX gold was trading marginally closer to $1756/oz after falling 0.4 per cent yesterday. Gold traded under pressure amid a strong US dollar and higher bond yields on expectations of a monetary tightening by the Fed. ETF outflows also show weak investor interest.
However, support prices are a safe haven amid rising challenges for the global economy and improving consumer demand. Gold may remain range bound as a stronger US dollar will be countered by weak risk sentiment, although lower prices may attract some buying amid weak risk appetite.
Sandeep Matta, Founder – TRADEIT Investment Advisor:
Decline in bond purchases, a stronger dollar and higher yields continues to weigh on gold prices, although we anticipate a counter bullish trend to begin soon and long-term investors are encouraged to initiate delivery-based positions at current levels and continue to trade. recommends adding. More on the dip.
Gold on MCX is also trading in a small range under pressure. The outlook is positive and market participants should look for buying opportunities at the lower levels of the range.
Key level for Gold December contract – 46680; Above area to target 46880-47070 – buy 46700; Sell area below for target 46485-46290 – 46650”