Gold futures opened in the red on Wednesday and traded in a narrow range as international bullion markets remained edgy.

Gold futures on Multi Commodity Exchange (MCX) opened in the red at ₹47,911 per 10 grams, down by ₹15 from the previous close. Prices moved in a narrow range of ₹47,911-47,963 in early trade on Wednesday.

MCX silver futures was little changed at the opening with marginal gains of Rs 81. Most active, MCX Silver March had ended the previous session above Rs 63,000 levels. The contract opened above the important level at Rs 63,100 a kg against previous close of Rs 63019.

Comex gold opened nearly flat at $ 1818 on Wednesday.

Comex Gold weakens

CME Gold Futures for February contract opened at $ 1812.9 an oz (a troy ounce is equal to 31.1 grams) on Wednesday, nearly unchanged from previous close of $1812.4.

Investors awaited more cues from the US Federal Reserve on the rate hike timeline, which caused range-bound movement in bullion. Also, Comex Gold weakened amidst a spike in U.S. Treasury yields and a stronger dollar.

CME Silver futures maintained the $23 levels and opened at $23.5 an oz for the most active comex Silver March contract almost unchanged against previous close of $23.49.

Notably, CME data showed Silver contract registered heavy volumes of 102,000 lots in the previous session.

MCX Gold trades in a narrow range

MCX Gold February Futures opened in red but made advances to trade in the positive territory on Wednesday. The yellow metal last quoted at Rs 47,941 per 10 grams, up Rs 15 at 10.27 am Wednesday. The Open interest for the February contract was 5477 lots.

MCX silver futures tracked gold movement and traded flat with marginal gains of 0.1 per cent on Wednesday. Silver March contract last quoted at ₹63,084 a kg at 10.27 am on Wednesday, up by ₹65 from the previous close. The open interest was recorded at 9,495 lots in the early trade on MCX.

Notably, in the previous session on Tuesday, silver prices ended above ₹63,000 — last seen in November 2021.

Spot gold stays flat

Spot gold maintained ₹48,000 levels and was last quoted at ₹48,122 per 10 grams of 999 purity fine gold, as reported by India Bullion and Jewellers Association (IBJA) for the afternoon rates on Tuesday.

Spot silver was quoted at ₹61,602 a kg on Tuesday, as per IBJA.

Analyst-speak

Global bullion investors are closely awaiting the outcome of the US Fed's January 25-26 meeting for cues on the possible rate increase timeline.

Analysts expect gold movement to remain range-bound until there is clarity on the Central bank's interest rate hikes.

Physical gold purchases remained subdued in key markets, including India and China, as buyers deferred purchases amidst the uncertainty on prices.

MCX gold futures price range is expected to be ₹47,651-48,185, while silver is expected to trade in the range of ₹60,917-64,529.