In recent market activities, India gold prices experienced a downturn on Friday, reflecting the latest figures from the Multi Commodity Exchange (MCX).
Current Gold Prices
Gold is currently priced at 73,161 Indian Rupees (INR) per 10 grams. This represents a decrease of INR 51 from Thursday’s closing rate of INR 73,212.
When considering futures contracts, the gold price also fell to INR 72,912 per 10 grams, down from INR 72,980 previously.
Interestingly, the silver futures market showed a contrasting trend, with prices rising to INR 87,575 per kilogram, an increase from INR 87,300.
Major Indian City Gold Prices
| City | Gold Price (INR) |
|---|---|
| Ahmedabad | 75,730 |
| Mumbai | 75,490 |
| New Delhi | 75,485 |
| Chennai | 75,730 |
| Kolkata | 75,650 |
Global Market Insights
Despite hints from Fed officials about prolonged interest rates, Comex gold prices have seen an uptick. Recent economic data revealed that the US weekly Initial Jobless Claims rose to 222,000 for the week ending May 11. This figure surpassed both the previous week’s claims of 232,000 and the estimated 220,000 as reported by the US Bureau of Labor Statistics (BLS).
Additionally, housing starts increased by 5.7% month-over-month to reach 1.36 million in April. However, building permits fell by 3% month-over-month in April, totaling 1.44 million.
Key figures from the Federal Reserve have weighed in on current economic trends. Atlanta Fed President Raphael Bostic commented on recent Consumer Price Index (CPI) data, indicating signs of easing inflation. Nevertheless, he stressed the need to monitor subsequent data from May and June for confirmation.
Cleveland Fed President Loretta Mester expressed her satisfaction with the current monetary policy, stating it is too soon to declare that progress in reducing inflation has stalled. Similarly, Richmond Fed President Tom Barkin highlighted the importance of sustaining elevated borrowing costs longer to align inflation with targets, especially as prices in the services sector increase.
Financial markets are reflecting a nearly 75% probability of a Fed rate cut in September, a rise from 65% earlier this week. Moreover, markets anticipate complete 25 basis point (bps) rate cuts by the end of the year, as per the CME FedWatch Tool.
Conclusion
The recent decline in gold prices in India signals ongoing fluctuations in the commodity market. For daily updates and insights, you can check Daily Gold Signal or explore the Daily Gold Update.
