Gold Dips Below Rs 86,000 Per 10 Grams, Silver Drops Under Rs 98,000 on MCX

Gold prices decline on MCX, major Indian cities as global trends influence markets

Gold prices on India’s Multi Commodity Exchange (MXC) began lower on March 7, following losses in global bullion prices. MCX gold futures dropped by Rs 294, or 0.34 percent, to Rs 85, 740 for 10 grams, from the last close of Rs 86,034 Silver, too, moved in a declining direction, with MCX silver prices falling by Rs 332, or 0.34 percent, to Rs 97,809 per kg. The white metal opened at Rs 97,956, lower than its last close of Rs 98,141.

Global Market Trends

Global gold prices dipped but were still headed for a weekly increase as doubt over tariff policies by former US President Donald Trump added to the demand for bullion. Spot gold fell 0.3 percent to US$ 2,900.48 an ounce, while US gold futures dropped 0.6 percent to US$ 2,908.70. Even with the fall, gold is up 1.6 percent this week.

“MCX gold is finding it difficult to cross the Rs 86,500 level, while the overseas bullion is below US$ 2,956 despite the correction in the US dollar index. The tariff war is clipping the wings of price rises, although gold ETF investment remains stable, stated Ajay Kedia, Director of Kedia Advisory.

Market players are paying close attention to US non-farm payroll numbers, which will shape the Federal Reserve's monetary policy. Gold is usually perceived as an inflation hedge and protection against political instability, but high interest rates over the long term reduce its attraction as a non-yielding asset.

Federal Reserve Governor Christopher Waller indicated that he is still firmly against a rate cut now. Still, he did concede that there could be cuts later this year if inflation pressure dissipates.

According to a news article in Reuters, Federal Reserve Governor Christopher Waller indicated that he is still firmly against a rate cut now, but he did concede that there could be cuts later this year if inflation pressures dissipate.

Gold Prices Dip Across Indian Cities

Gold prices in India declined with a reduction of Rs 45 per gram in major cities. The 8 grams of 24-carat gold was priced lower by Rs 552 than the day before.

Following is the city-wise information on gold rates:

(for dm team, pls keep the colour of the table if it goes like this, and keep the numbers and letters of the table in centre)

While global and domestic factors are still driving bullion prices, investors are still keeping an eye on macroeconomic trends and Federal Reserve monetary policy cues.