Gold rate today: MCX gold trades at Rs 75,249/10gm; retreats from all-time high marked yesterday, silver down by Rs 93 per kg

Gold rate today, Silver rate today (September 26): Gold prices in the spot market internationally traded with minor gains after hitting fresh record highs. Likewise,mirroring global price movement, gold October futures on the MCX traded weak by a tad at Rs 75,249 per 10gm. Similarly, silver December futures traded with minor loss at Rs 92,138, down Rs 93 per kg.

Gold price remained steady above $2,650 for the second straight session as traders increased the odds for another big interest rate cut by the Federal Reserve (Fed) at the upcoming November meeting. That amid high US Treasury yields kept the Gold from rising further, where it mostly traded near $2,660 per oz levels overnight. Market sentiment shifted slightly sour during the US session as Wall Street traded in the red. Hence, Bullion prices hit a record high of $2,670 but retreated as US Treasury yields rose four and a half basis points (bps) to 3.775%.

In the meantime, the US Dollar Index bounced off a 14-month low and edged up 0.54% to 100.88.

During the week, US economic data showed that business activity in the manufacturing sector cooled while services remained resilient. However, a deterioration in Consumer Confidence via the Conference Board (CB) suggests that conditions in the labor market could be worse than projected. Last week, the Fed lowered borrowing costs by 50 bps to 4.75 % - 5.00 %, and traders seemed confident about back-to-back cuts of the same size. According to the CME FedWatch Tool, the odds for a 50 bps Fed cut are 60%, while 25 bps stands at 40%.

Outlook

Neha Qureshi, Senior Technical & Derivative Analyst, Anand Rathi Commodities & Currencies said bullion prices rose 29% so far in 2024, sponsored by Gold’s ETF demand and major central banks beginning their easing cycles.

This and geopolitical tensions could keep traders setting their sights at $2,700 in medium-term perspective.

Meanwhile, in short term, traders look ahead to Fed Chair Jerome Powell's speech on Thursday for further cues on interest rates while upcoming Core PCE Index data scheduled tomorrow could also remain crucial to determine whether gold could remain glued to all-time high levels towards the end of the week or not.

Trading strategy in gold/silver

Qureshi has advised to buy gold (October) on dips at around Rs 75,300 for a target of Rs 76,000, keeping Rs 74,900 as the stop loss. Similarly, for MCX silver, the expert has advised a buy on dips at around Rs 92,000 for a target of Rs 94,000, with a stop loss of Rs 91,000.