Gold price edges higher in quiet trade; focus remains on US Fed's rate outlook & Trump's trade policies
Gold prices in a quiet trading session traded rangebound with minor gains on the MCX mirroring international rates.
Precious metal prices: Gold and silver prices came off the day's high but continued to trade with gains in thin trade ahead of Christmas festivities. For now, future direction of gold will depend on the rate-cut path adopted by the Federal Reserve going ahead in 2025 after the hawkish stance in its latest Fed meeting and changes in the US trade policies after Donald Trump takes over as the US President in January.
Gold price on MCX
February gold futures traded with minor gains of 0.11 per cent at Rs 76,226 per 10 gm. Early in the day, gold price at the day's high scaled Rs 76,349 per 10 gm.
24K gold rate in India
In comparison to the previous day, 24K gold rate in India has fallen by Rs 100 and is retailing at Rs 77,350 per 10 gm.
Gold price trades rangebound internationally
In a quiet trading session, spot gold internationally traded near the day's low but still was holding on to gains- up by 0.07 per cent at $2,614.73.
Gold gains exorbitantly in 2024 so far
On the back of several factors gold has outperformed equities in 2024 with a return of 27 per cent thus far.
Majorly 3 factors contributed to gold's record high in 2024
Gold this year has scaled new highs multiple times primarily on the back of global central bank buying, monetary policy easing as well as geo-political tensions that boosted safe-haven appeal of the bullion.
Latest favourable US inflation prints eased rate cut concerns
The latest inflation reading on Friday eased some concerns around the pace of rate cut next year. Importantly, lower rate cuts in the economy bode well for bullion as it lowers the opportunity cost of holding the non-interest yielding gold.
Gold and silver price support and resistance levels
Rahul Kalantri, VP Commodities, Mehta Equities said, "Gold has support at $2600-2581 while resistance at $2640-2657. Silver has support at $29.42-29.20 while resistance is at $29.92-30.10. In INR gold has support at Rs75,880-75,640, while resistance at Rs 76,270-76,480. Sliver has support at Rs 88,450-87,880, while resistance at Rs89,630-90,100.