Gold price today: A day after clocking solid gains of over a per cent, the rates of gold and silver climbed by over half a per cent in early deals on Wednesday, November 26, on healthy spot market demand and US Fed rate cut hopes. MCX gold December futures were 0.50% up at ₹1,25,835 per 10 grams around 9:10 am. MCX silver December futures were 0.91% up at ₹1,57,750 per kg at that time.
International gold prices rose to a near two-week high on Wednesday, after fresh US macro data weighed on the dollar and raised expectations of a rate cut by the US Federal Reserve next month.
The dollar index slipped near 99.60, touching a one-week low, making gold attractive for overseas buyers. The benchmark 10-year US Treasury yields stayed near one-month lows hit in the previous session.
US retail sales data and the Producer Price Index data for September bolstered hopes for a rate cut in December.
US retail sales grew at a slower pace than expected in September. The US Commerce Department’s data showed that overall retail sales rose by 0.2% on a month-on-month basis in September, following August’s 0.6% increase.
On the other hand, the US Labour Department showed that Producer Prices Index (PPI) rose in line with forecasts, reaching 0.3% in September.
Both reports, released on Tuesday, had been delayed due to a record 43-day-long government shutdown between October and mid-November. The shutdown halted the publication of various economic data.
While the Fed rate factor remains a key support for gold prices, positive signals over the Russia-Ukraine war front could limit the upside for gold. US President Donald Trump has announced parallel missions to Moscow and Kyiv to push for the proposed U.S.-backed peace plan, raising hopes that the biggest European conflict since World War II could soon come to an end.
Gold and silver: Key levels to watch
According to Rahul Kalantri, VP of commodities at Mehta Equities, gold has support at $4,100 and $4,065, while resistance is at $4,170 and $4,195. Silver has support at $51 and $50.65, while resistance is at $51.85 and $52.20.
In INR, Kalantri said gold has support at ₹1,24,350 and ₹1,23,580 while resistance is at ₹1,25,850 and ₹1,26,500. Silver has support at ₹1,54,850 and ₹1,53,600, while resistance is at ₹1,57,110 and ₹1,58,000.
(This is a developing story. Please check back for fresh updates.)
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Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.