Gold future contract rates on the Multi Commodity Exchange of India (MCX) index fell 2.44 percent to ₹75,386 as of 10:01 PM on November 11. The precious yellow metal closed in ₹77,272 at the previous market close.
Gold prices fell on domestic markets ₹450 to ₹79,550 per 10 gram in national capital Delhi on Monday amid weak trends in international markets, news agency PTI reported, citing data from the All India Sarafa Association.
The precious yellow metal was there ₹80,000 per 10 grams on Friday, November 8. In addition to the gold price, the silver price also fell ₹600 to ₹94,000 per kilogram on Monday against the previous closing rate ₹94,600 per kilogram.
The Silver Futures on the MCX index also fell by 2.26 percent ₹89,210 per kilogram on Monday as of 10:05 PM on November 11, compared to ₹91,269 at the previous market close.
“Gold prices are trading lower, with the Comex down and down from Friday’s close of $2,685, as the strengthening dollar index puts pressure on the yellow metal. The rise in US bond prices after Trump’s election victory is adding to the corrective trend in bullion,” Jateen Trivedi, VP Research Analyst – Commodity and Currency at LKP Securities told the news agency.
Global gold
Comex gold futures also fell 0.66 percent or $17.80 an ounce to $2,677 an ounce on Monday.
“Last week, the Comex gold price fell to a one-month low of $2,650.30 per ounce as investor sentiment shifted to risky assets following Trump’s election victory and the Republican Party’s successful bid for control of the US Senate to win back,” said Kaynat Chainwala. This was reported by the AVP-Commodity Research news agency at Kotak Securities.
The previous yellow metal recovered above $2,700 after the US Federal Reserve (FED) widely expected to cut rates by 25 basis points. However, a stronger dollar and rising Treasury yields kept pressure on gold, ending the week down 2 percent at $2,694.80 an ounce, he said, according to the report.
Gold resumed trading at lower levels due to a number of bearish factors such as the strength of the US dollar, bets on less aggressive rate cuts by the Federal Reserve and higher US bond yields, said Saumil Gandhi, Senior Analyst – Commodities at HDFC Securities according to the news agency.
