On Monday, gold prices in India dropped, according to data from India’s Multi Commodity Exchange (MCX). The price for gold was at 71,900 Indian Rupees (INR) per 10 grams, which was down by INR 216 compared to Friday’s price of INR 72,116.
For futures contracts, gold prices went up slightly to INR 71,564 per 10 grams from the previous INR 71,500 per 10 grams.
Meanwhile, the prices for silver futures contracts also saw a slight increase, rising to INR 82,617 per kilogram from the previous INR 82,496 per kilogram.
| Major Indian City | Gold Price |
|---|---|
| Ahmedabad | 74,450 |
| Mumbai | 74,245 |
| New Delhi | 74,250 |
| Chennai | 74,490 |
| Kolkata | 74,520 |
Global Market Movers: Comex Gold Price Seeks Firm Direction Amid Mixed Fundamental Cues
- The US Bureau of Economic Analysis reported on Friday:
- The Personal Consumption Expenditures (PCE) Price Index increased by 0.3% in March.
- The yearly rate rose to 2.7% from 2.5% in February, surpassing expectations for a reading of 2.6%.
- The core PCE Price Index, excluding volatile food and energy prices:
- Remained steady at 2.8% compared to the anticipated 2.6%, reinforcing hawkish Federal Reserve expectations.
- This stability exerted pressure on the non-yielding Gold price on Comex.
- Israel-Hamas peace talks in Cairo:
- Have fostered optimism regarding de-escalation of tensions in the Middle East.
- This optimism has bolstered investors’ appetite for riskier assets, diverting flows away from safe-haven precious metals like gold.
- However, Ukraine’s recent attacks on Russian oil refineries:
- And their call for increased military aid from the US due to worsening conditions on the front lines, have kept geopolitical risks in play.
- This has lent support to the XAU/USD (gold price) as investors seek safe-haven assets.
- Additionally, evidence that inflation in the US is persisting:
- Contrary to initial expectations, is expected to act as a tailwind for gold.
- Gold is often seen as a hedge against inflation, especially ahead of the crucial two-day FOMC monetary policy meeting starting on Tuesday.
- Investors this week will also confront:
- The release of significant US macro data, particularly the highly anticipated monthly jobs data known as the Nonfarm Payrolls (NFP) report on Friday.
