Gold prices moved higher in early trade on February 11, supported by positive global cues and improved risk sentiment toward safe-haven assets. On the Multi Commodity Exchange gold April futures contracts advanced nearly 1% to Rs. 1,58,436 per 10 grams. Silver March futures contracts also jumped around 3.3% to Rs. 2,60,838 per kg.
The price of 24K gold decreased by Rs. 27 in early trade on Wednesday with ten grams of the precious metal trading at Rs. 1,58,510.
The price of 22K gold also declined by Rs. 25 with ten grams of the yellow metal selling at Rs. 1,45,300.
The price of ten grams of 24K gold stood at Rs. 1,58,510 in Mumbai and Kolkata and Rs. 1,59,280 in Chennai.
In Delhi the price of ten grams of 24K gold stood at Rs. 1,58,660.
International bullion prices also firmed up as US Treasury bond yields declined. US gold futures for April delivery rose around 1% trading above $5,070 per troy ounce. Spot gold hovered near $5,040 per ounce.
Silver rebounded strongly after the previous session’s losses climbing to approximately $81.5 per ounce.
The rally in gold and silver was underpinned by a softer US dollar and easing bond yields. The dollar index slipped to near 96.6, making bullion more attractive for buyers holding other currencies.
Concerns over the health of the US economy have intensified following weaker retail sales data which showed stagnation in consumer spending.
Downward revisions to earlier figures have added to fears that high inflation and trade-related costs are weighing on demand.
These developments have strengthened expectations that the Federal Reserve may pivot toward interest rate cuts later this year.
Investors are now closely watching upcoming US macroeconomic releases, particularly the January non-farm payrolls report and inflation data due later this week.
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On MCX, gold is expected to find strong support in the Rs. 1,55,500-Rs. 1,54,000 zone. On the upside resistance is placed near Rs. 1,57,700 followed by a higher target around Rs. 1,59,000.
For silver, support lies at Rs. 2,48,800 and Rs. 2,44,000, while resistance is seen at Rs. 2,55,500 and Rs. 2,60,000.
Internationally, gold has support at $5,000 and $4,970, while resistance is at $5,080 and $5,122 per troy ounce, and silver has support at $78 and $74.40, while resistance is at $84.40 and $88 per troy ounce in today’s session.