Gold rate today (September 27):  Gold prices have been notching new highs after the Fed rate cut. In Friday's session, MCX gold October futures traded weak by around Rs 200 or 0.25 per cent at Rs 75,200 per 10 gm. Gold prices have witnessed some pullback in the past few sessions as gains in the dollar index and the US treasury yield have weighed. 

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Silver December futures, meanwhile, also traded with a cut of 0.14 per cent at Rs 92,537 per kg.

In the US spot market gold continued to hit its new high for the fifth day in a row. The gains came even as several Federal Reserve (Fed) officials this week tried to push back against bets for a more aggressive policy easing, the markets are still pricing in a greater chance of another oversized rate cut in November.

This overshadowed the better-than-expected US macro data and weighed heavily on the greenback.

Last the dollar index DXY was up at 100.28.

Outlook for gold

Gold continues to maintain positive bias, with persistent geopolitical tensions stemming from the ongoing conflicts in the Middle East continuing to drive haven flows and turn out to be another factor acting as a tailwind for the Gold price.

Meanwhile, the prevalent risk-on mood across the global equity markets bolstered by China's stimulus measures also acts a positive trigger. Investors may seem reluctant and prefer to wait on the sidelines ahead of Friday's release of the US Personal Consumption Expenditure (PCE) Price Index where Gold could still end the week on a positive note on a weekly basis, added Neha Qureshi, Senior Technical & Derivative Analyst, Anand Rathi Commodities & Currencies.

Naveen Mathur, Director - Commodities & Currencies, Anand Rathi Shares and Stock Brokers held that moving ahead for a next year perspective Gold has always been the beneficiary of economic uncertainty persisting with interest rates in US at multi-decade highs and growth concerns emerging from hereon.  Historically with the start of lower interest rate regime, the US Fed has managed a soft landing only twice following nine tightening cycles over the past five decades.  The other seven had ended in a recession. 

Finally, strong investor confidence and underlying demand could drive gold prices to unprecedented levels in coming years where even further 10 - 15 per cent returns in gold cannot be ruled out in 2025. We expect Spot Gold to average around $ 2600 – 2650 per oz in 2025 as compared to year to date average of $ 2280 per oz in 2024, added Mathur.