Gold futures made positive opening on Wednesday with marginal gains of ₹95 at ₹48,155 per 10 grams, against the previous close of ₹48,060 for on Multi-Commodity Exchange (MCX) for most active February contract.

Silver Futures was down by ₹52 at ₹61,776 a kg for MCX March contract.

Precious metals remained weak amidst rebound in the equities markets as investors turned to riskier assets. The Reserve Bank maintained the key rates unchanged and projected GDP Growth for 2021-22 at 9.5 per cent amidst uncertainties around Omicron spread.

Responding to the RBI's policy announcement, gold futures advanced further to quote at ₹48,170, with gains of ₹110.

Comex Gold make steady advances

CME Gold Futures for the most active February contract on Wednesday opened at $1785.1 an oz (oz is equal to approx 28.3 grams), and inched up to $1791.6 before last quoting at $1,789. The yellow metal extended its advances from its multi-week lows of $1,762.2 quoted on December 2.

CME Silver tracked the overall recovery in the bullion. Silver March Futures opened firm at $22.50 an oz, marginally higher than the previous close of $22.495. A steady recovery in prices is seen from the multi-week lows of $22.05 on December 3.

MCX Gold Futures stay positive

Gold Futures maintained positive territory after opening nearly flat. The MCX February Futures was last quoted at ₹48,110 up ₹50 from previous close. The open interest for the February contract was 8,801 lots, showed MCX data.

MCX Silver Futures slipped marginally after flat opening. Silver March contract was down by ₹85 from previous close and last quoted at ₹61,743. Open interest increased to 12,358 lots with change of 133 lots.

Spot Gold stays above₹47,863

Spot Gold prices weakened over previous week, but retained a positive trend over previous close. India Bullion and Jewellers Association (IBJA) quoted spot gold rates at ₹47,863 per 10 grams (999 purity), marginally higher from the previous quote of ₹47,875.

Spot silver was last quoted at ₹61,127 a kg (999 purity), higher from ₹60,992. The prices remained under pressure from the highs of ₹65,829 quoted on November 22.

Outlook

International factors such as the upcoming US consumer price data, and subsequent US Federal Reserve's monetary policy meet and domestic factors such as RBI's Monetary policy move and the spread of the new variant of coronavirus is set to keep precious metals under a narrow range with no clear movement in either direction. Analysts expect gold getting support at ₹47,628, while it may see resistance at ₹48,384. Silver prices are likely to see a support at ₹60,805 and resistance is expected at ₹62,551.

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