Gold price on MCX dropped amid elevated crude oil prices, which increased inflation concerns. Gold’s June futures declined 0.47% to Rs. 1,57,858 per 10 grams. Silver July futures fell 1.24% to Rs. 2,68,511 per kg.
Meanwhile, Brent crude futures gained 1.73% to $111.2 a barrel. US West Texas Intermediate (WTI) advanced 2.12% to $107.7 a barrel.
24K gold declined by Rs. 71 to Rs. 1,56,220 per 10 grams. 22K gold fell by Rs. 65 to Rs. 1,43,200. City-wise, Mumbai and Kolkata mirrored prices at Rs. 1,56,220, while Delhi was at Rs. 1,56,370, and Chennai at Rs. 1,56,880.
US gold prices fell on Monday to their lowest level in over a month, as tensions in West Asia pushed oil prices higher, fueling inflation fears and reinforcing expectations of higher-for-longer interest rates.
Spot gold was down 1.1% at $4,488.99 per ounce. US gold futures for June delivery fell 1.5% to $4,493.30.
Gold speculators raised net long positions by 4,963 contracts to 100,627 in the week ended May 12.
Spot silver fell 2.2% to $74.30 per ounce, platinum lost 0.6% to $1,961.30, and palladium dropped 1.2% at $1,396.25.
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"We're seeing a bit of bounce right now due to profit-taking activities, given the fact that gold itself still continues to remain trapped in this complex sideways range configuration," said Kelvin Wong, a senior market analyst at OANDA.
Internationally, gold has support at $4,515 and $4,470, while resistance is at $4,600 and $4,640 per troy ounce, and silver has support at $75.50 and $72, while resistance is at $80 and $82.80 per troy ounce.
On MCX, gold has support at Rs. 1,57,000 and Rs. 1,55,500, and resistance is at Rs. 1,59,400 and Rs. 1,60,650, while silver has support at Rs. 2,66,600 and Rs. 2,61,200 and resistance at Rs. 2,77,700 and Rs. 2,83,000, said Jain.