Gold rate on Multi Commodity Exchange (MCX) rose and Silver price jumped above 91,100 level tracking gains in international bullion prices amid interest rate cut hopes.
MCX gold rate rose 0.05%, or by ₹39, to ₹73,750 per 10 grams on Friday.
MCX Silver rate gained 0.14%, or ₹125, to close at ₹91,149 per kg.
International gold price clocked second consecutive weekly gain on renewed hopes for US interest rate cuts and China’s stimulus measures.
Gold rate also gathered steam after the major consumer China announced “historic" steps to stabilise the crisis-hit property sector.
Gold rate on Multi Commodity Exchange (MCX) rose and Silver price jumped above 91,100 level tracking gains in international bullion prices amid interest rate cut hopes.
MCX gold rate rose 0.05%, or by ₹39, to ₹73,750 per 10 grams on Friday. The yellow metal made a high of ₹73,782 and a low of ₹72,833 during the day. MCX Silver rate gained 0.14%, or ₹125, to close at ₹91,149 per kg. It hit a high of ₹92,536 and a low of ₹86,900.
International gold price clocked second consecutive weekly gain on renewed hopes for US interest rate cuts and China’s stimulus measures. Silver price also broke the $30 barrier to hit an 11-year high.
Also Read: Gold and silver prices today on 18-05-2024: Check latest rates in your city
US gold futures settled 1.3% higher at $2417.40 per ounce. Silver rate for July delivery rose $1.38 to $31.26 per ounce. Spot gold prices are up over 2% so far this week.
“Bullion rose, buoyed by increased expectations of Federal Reserve interest rate cuts, firm central banks buying, and safe-haven demand. Earlier signs of a slowdown in US consumer inflation and stagnant retail sales have provided the Fed with more leeway to initiate monetary easing. While policymakers haven't officially changed their stance, markets are already pricing in first rate reductions for 2024," said Ajay Kedia, Director of Kedia Advisory.
Gold rate also gathered steam after the major consumer China announced “historic" steps to stabilise the crisis-hit property sector.
Also Read: Gold price gains for second consecutive week, silver surges to 11-year peak
Meanwhile, traders expect roughly two quarter-point cuts from the US Federal Reserve this year, with November being the most likely starting point. Lower interest rates tend to boost non-yielding bullion’s appeal.
According to Kedia, gold prices may find support at ₹72,406 and resistance is placed at ₹74,438. Support for silver is seen at ₹86,172 and resistance at ₹94,331 level.
He suggests buying gold June contract at ₹73,400 with a stop loss placed at ₹73,000 level, for a target of ₹74,000 - 74,400. Kedia also recommends buying Silver July contract at ₹90,200, with a stop loss at ₹88,800 and for a target price of ₹91,600 - 93,200.
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Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
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