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Gold futures opened positively on Friday tracking international momentum in the yellow metal.
Gold February contract on the Multi Commodity Exchange (MCX) opened marginally positive at ₹47,924, up ₹39 per 10 grams against the previous close of ₹47,885.
MCX silver March Futures opened at ₹62,282 a kg on Thursday, up ₹122 from previous close of ₹62,160.
Comex Gold gains strength
Comex gold futures made a strong recovery in past two days, gaining by $30.9 to trade at $1,818.8 in early trade on Friday.
CME gold Futures regained $1,800 levels on Friday after making strong recovery from Thursday’s intra-day lows of $1,769.2.
CME Gold February Futures gained on Friday to trade at $ 1815.4 an oz (a troy ounce is equal to 31.1 grams).
The most active Comex silver March contract tracked overall strength in bullion complex. CME silver March Futures were last quoted at $23.13 an oz at opening trades on Friday, recovered from Thursday’s intra-day lows of $22.63 an oz.
MCX Gold Futures slips in red
After opening in the positive, MCX gold futures slipped into red. The bullion futures, last quoted at ₹47,870 per 10 grams, were down ₹15 at 10:38 am Friday.
The Open interest for the February contract was recorded at 8,534 lots on Friday.
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MCX silver futures tracked overall weakness in bullion. After opening firm, silver slipped into red during Friday trades. Silver was last quoted at ₹62,156 a kg, down ₹4 at 10:38 am on Friday. The open interest was recorded at 11,190 lots in early trades on MCX.
Spot gold stays below ₹48,000
Gold was at ₹47,798 per 10 grams of 999 purity fine gold as quoted by India Bullion and Jewellers Association (IBJA) on Thursday, lower than earlier quoted ₹48,318 in spot markets on Tuesday. The yellow metal remained below ₹48,000 for the second straight day.
Spot silver too settled lower on Thursday at ₹61,133 a kg for 999 purity.
Analysts speak
As per the Augmont Gold report issued on Friday, internationally, the precious metals advanced with US Treasury yields inching lower and the dollar paring gains. This comes after the investors weighed better-than-expected US economic data and the implications of Covid-19’s Omicron variant on the global recovery.
Adding to the positive economic sentiment is US Labor Department data released on Thursday, which showed applications for US State unemployment benefits unexpectedly falling last week, illustrating resilient labour demand despite coronavirus infections.
Gold is heading for its first annual loss in three years after rallying to an all-time high in 2020, as central banks start to dial back pandemic-era stimulus to fight inflation, the Augmont Gold report noted.
On charts, the report notes that Gold sustains above its resistance of ₹48,200, and would head higher towards ₹49,000.
For silver, it says that a closing above the Fibonacci resistance of ₹61,300 will to head higher towards ₹62,400 and ₹63,400.
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