Markets

Gold prices slip below ₹48,000 tracking global weakness

Our Bureau | | Updated on: Dec 29, 2021
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MCX gold February contract opened at ₹47,990

Gold prices slipped in the opening on Wednesday. Gold futures on Multi Commodity Exchange (MCX) slipped below ₹48,000 with a marginal loss.

MCX gold February contract opened at ₹47,990 down ₹52 per 10 grams against the previous close of ₹48,042.

MCX silver March Futures tracked the overall weakness in the bullion pack and opened in red at ₹62,447 down by ₹67 at the opening trades on Wednesday against previous close of ₹62,514.

Comex gold futures weakened amidst rise in the equities and robust US retail sales data, which indicated easing of the Omicron concerns on the economy.

Comex gold loses $15

Comex gold Futures took a pause on Wednesday from a four-day uptrend. The yellow metal slipped by $15 from Tuesday's high levels of $1821.6 an oz (a troy ounce is equal to 31.1 grams) to open at $1806.6 on Wednesday. CME gold futures for February contract last quoted at $1804.3 in early trades on Wednesday.

Gold maintained the crucial $ 1800 levels amidst persistent concerns on the spread of Omicron variant.

Comex silver tracked gold movement and lost about $ 0.5 an oz at the opening on Wednesday. Silver lost the $23 level to last quote at $22.995 an oz for CME Silver March Futures .

MCX gold slips amidst global weakness

MCX gold February futures slipped further in red on Wednesday. The bullion futures last quoted at ₹47,949 per 10 grams, down ₹93 at 10.33 am Wednesday.

Despite the rising Covid-19 cases in the country, and a possible threat on the economy, the yellow metal slipped below ₹48,000 levels.

The Open interest for the February contract was recorded at 8687 lots on Wednesday.

MCX silver futures weakened on Wednesday to trade below previous close of ₹62,514 a kg. Silver was last quoted at ₹62,396 a kg at 10.34am on Wednesday, down ₹118 from previous close. The open interest was recorded at 10,569 lots in the early trades on MCX.

Spot gold inches up to ₹48,318

Spot gold ended with marginal gains on Tuesday. The prices, maintained the ₹48,000 level, and inched up to ₹48,318 per 10 grams of 999 purity fine gold as quoted by India Bullion and Jewellers Association (IBJA).

Spot silver made advances to quote above ₹62,000 at ₹62,225 a kg for 999 purity on Tuesday PM rates.

Outlook

Analysts expect gold price movement to be in the range of ₹47,798-48,450 on Wednesday. Silver movement is expected in the range of ₹61,804-63,594. The MCX gold future is closely tracking international gold. The gold price movement follows the strong US retail sales data, and an upwardly revision in the US economy growth data from earlier estimate of 2.1 per cent to revised estimate of 2.3 per cent for the third quarter.

Published on December 29, 2021

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