Gold prices retreated in early trade on Thursday, October 9, as investors booked profits after bullion touched record highs in the previous session. On the Multi Commodity Exchange (MCX), gold December futures were down 0.37% at Rs. 1,22,749 per 10 grams, while silver December futures slipped 0.89% to Rs. 1,48,524 per kilogram.
In the previous session on October 8, MCX gold futures for December delivery had surged to a record Rs. 1,23,450 per 10 grams, while silver touched a fresh high of Rs. 1,50,282 per kg.
In Mumbai, gold prices moved slightly higher. 24-carat gold is priced at Rs. 12,415 per gram, up by Rs. 22, while the 24-carat gold price for 10 grams is Rs. 1,24,150, reflecting an increase of Rs. 220.
22-carat gold stands at Rs. 11,380 per gram, up by Rs. 20 from yesterday, while the 22-carat gold price for 10 grams is Rs. 1,13,800, up by Rs. 200.
The steady uptrend in spot rates highlights strong festive demand ahead of Diwali and ongoing global uncertainty.
Gold prices in Chennai also witnessed marginal gains. 24-carat gold is retailing at Rs. 12,437 per gram, up Rs. 17, while for 10 grams, the 24-carat gold rate stands at Rs. 1,24,370, higher by Rs. 170 from the previous day.
22-carat gold trades at Rs. 11,400 per gram, up Rs. 15. For 10 grams, the 22-carat gold rate is Rs. 1,14,000, up by Rs. 150.
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Globally, spot gold decreased 0.4% at $4,021.99 an ounce after reaching an all-time high of $4,059.05 on Wednesday, with analysts suggesting that short-term profit taking and a stronger US dollar led to the correction, although the long-term outlook remains bullish due to Fed rate cuts and market expectations, buying by central banks, and geopolitical risks.
Renisha Chainani, Head of Research at Augmont, expects gold on the MCX to reach between Rs. 1,25,000 and Rs. 1,28,000 per 10 grams by year-end, assuming the Federal Reserve delivers one or two rate cuts in the coming months.
Gold has key support at Rs. 1,22,400 and Rs. 1,21,650, while resistance is expected near Rs. 1,24,000 and Rs. 1,24,800. For silver, support is at Rs. 1,48,500 and Rs. 1,47,000, with resistance likely around Rs. 1,51,500 and Rs. 1,52,800. Analysts advise waiting for corrective dips before taking new long positions in gold and silver.