Gold Price In India: Domestic gold futures eased more than 1 per cent on Thursday as strength in the dollar amid a surge in global COVID-19 cases and fractious US stimulus talks made the yellow metal dearer for investors dealing in other currencies. Multi Commodity Exchange (MCX) gold futures – due for a December 4 expiry – fell by Rs 573 (1.12 per cent) to Rs 50,760 at the weakest level recorded during the session. MCX silver futures followed suit, falling as much as 2.13 per cent to Rs 62,274. (Also Read: Is Silver The New Gold?)
MCX gold and silver futures settled at Rs 50,893 (down by Rs 440 or 0.86 per cent) and Rs 62,564 (down by Rs 1,065 or 1.67 per cent) for the day.
Globally, gold eased as the dollar recovered some lost ground after doubts emerged on whether US lawmakers could reach agreement on a new coronavirus aid package before the November presidential election. Spot gold trading on Comex declined as much as 0.88 per cent to $1,912.60 per ounce, and silver slumped 1.86 per cent to $24.77 per ounce.
The dollar index – which measures the greenback against six peers – gained as much as 0.32 per cent on Thursday. The rupee closed marginally higher at 73.53 against the US currency, breaking a four-day losing streak.
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Domestic spot gold settled at Rs 51,350 per 10 grams for the day, and silver at Rs 62,779 per kilogram, excluding GST, according to Mumbai-based industry body India Bullion and Jewellers Association (IBJA).
What Analysts Say
“Gold rose as high as $1,936/oz in intraday trade yesterday but failed to break past the recent high of $1,939.4/oz and has corrected. Gold remains choppy as market players continue to assess feasibility of the US stimulus deal as well as the UK-EU Brexit deal. A general bias however remains on the upside amid increasing challenges to the global economy,” said Ravindra Rao, VP-head commodity research, Kotak Securities.