Gold Price Today: MCX Futures Slide Below Rs 49,700 Mark Amid COVID-19 Vaccine Optimism

Gold Price In India: Domestic gold and silver futures crashed on Monday as news of the first successful late-stage COVID-19 vaccine trials prompted investors to dump safe-haven bullion and flock to riskier assets. Multi Commodity Exchange (MCX) gold futures - due for expiry on December 4 - slumped by Rs 2,667 (5.11 per cent) to Rs 49,500 at the weakest level of the day, whereas silver futures tumbled by Rs 4,775 (7.31 per cent) to Rs 60,560. MCX gold and silver contracts settled at Rs 49,665 and Rs 60,725 for the day respectively.

Spot prices beat a sharp retreat from a near two-month peak of $1,965.33 hit earlier in the session amid a weaker dollar and hopes for more stimulus following Joe Biden's victory in the US elections.

Equities surged after Pfizer Inc said its experimental COVID-19 vaccine was more than 90 per cent effective. Pfizer and German partner BioNTech SE said they expect to seek US emergency use authorization later this month.

Any sign of certainty in the financial markets pushes investors away from safer bets such as gold to riskier instruments such as equities. 

Comex gold plummeted 2.08 per cent to $1,911.20 per ounce. Silver was down 3.69 per cent at $24.72 per ounce. The dollar index - which gauges the greenback against six currencies - was steady on Monday, last seen trading up 0.07 per cent. The rupee edged higher to settle at 74.14 against the US dollar. (Also Read: Is Silver The New Gold?) 

#Gold and #Silver Closing #Rates for 09/11/2020#IBJA pic.twitter.com/0HOQhMT6Zw

November 9, 2020

Domestic spot gold closed at Rs 52,420 per 10 grams on Monday, and silver at Rs 66,052 per kilogram - both rates excluding GST, according to Mumbai-based industry body India Bullion and Jewellers Association (IBJA). 

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