Gold Price In India: Domestic gold and silver futures moved higher on Monday tracking global spot rates, supported by weakness in the US dollar as investors looked forward to the Federal Reserve's policy meeting later this week for cues. Multi Commodity Exchange (MCX) gold futures (due for an October 5 delivery) climbed by Rs 361 - or 0.70 per cent - to end at Rs 51,680, and silver futures (December 4) settled at Rs 68,535, up Rs 607 - or 0.89 per cent - from their previous close. The gold and silver contracts had risen to as high as Rs 51,736 and Rs 68,720 respectively during the session.
In the international market, gold prices moved higher, as weakness in the dollar made the precious metals less expensive for those dealing in other currencies.
Spot gold (Comex) climbed up as much as 1.07 per cent to touch the $1,968.70 per ounce mark on Monday, and silver jumped 2.01 per cent to $27.40 per ounce. (Also Read: Is Silver The New Gold?)
The US dollar index - which gauges the greenback against six currencies - declined as much as 0.49 per cent. Gold is often considered a hedge against inflation and currency debasement.
Back home, spot gold settled at Rs 51,394 per 10 grams on Monday, and silver at Rs 65,223 per kilogram, excluding GST, according to Mumbai-based India Bullion and Jewellers Association (IBJA).
#Gold and #Silver Closing #Rates for 14/09/2020#IBJA pic.twitter.com/ExdhlT9rrm
Gold has been one of the most consistent gainers through the six months of coronavirus pandemic-led turmoil in financial markets. Some analysts say gold is still in a bullish trend from a long-term perspective due to the coronavirus pandemic. (Also Read: Gold "Dream Run" May Continue: Analysts)
What Analysts Say
"Gold has witnessed mixed trade reflecting choppiness in equity markets and US dollar index. We may see directionless trade continuing unless either side of $1,900-2,000/oz range is broken," said Ravindra Rao, VP-head commodity research, Kotak Securities.
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