Gold Price Today Cools Off After High, Global Rate Settles After Slip
Gold price today stood at Rs 76,740 according to the India Bullion Association, as of 7:00 a.m.
Gold price today stood at Rs 76,740 according to the India Bullion Association, as of 7:00 a.m. The prices had hit a high of Rs 77,070 on Dec. 26 and fell by Rs 330. The month of December had seen quite some movement driven by global cues specially.
The month had reactions based on rate cuts, key economic data and festive demand. The highest prices the commodity had hit during the month continues to be Rs 79,100 on Dec. 11. The prices went to levels as low as Rs 75,840 on Dec. 19.
The price rally had slumped since early November, as the global prices had been on a decline, but held steady ahead of the rate cut, before dipping. The immediate dip in demand is pushed by the reduction of uncertainty as the the reduced rates and the trajectory for lower cuts in the future brings clarity.
Investors tend to consider the yellow metal a safe-haven investment when there is geo-political uncertainties or economic crisis. The reduced rates call a clearer signal of the Federal Reserve's stance and plans, also reducing the need for safe-play investments.
Zooming out, the year 2024 has seen a steady upward climb in the long term despite the volatility in the short term. The lowest prices have gone in 2024 was on Rs 61, 590 according to the India Bullion Association. While the highest prices of the year yet, was in October during the festive demand.
The futures prices for Feb. 5, 2025 stood at Rs 76,536 per 10 grams, according to the Multi Commodity Exchange.
Global Prices
Global rates of gold stood at $2,624, according to the World Gold Council. The commodity fell to the lowest price in a month after the Federal Reserve reduced interest rates this month.
There was also a forecast of less monetary easing for 2025, according to Bloomberg. The US Fed cut rates for the third consecutive time before they signaled a more cautious approach on further reductions of the rates.
Silver Prices
The silver price stood at Rs 88,920 as of 7:00 a.m., according to the India Bullion Association. The futures prices for Feb. 5, 2025 stood at Rs 88,882 according to the MCX.
