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Gold Futures slipped by about ₹187 to open at ₹47,837 per 10 grams on Multi Commodity Exchange (MCX) on Thursday. MCX Silver Futures too lost ₹845 to open at ₹ 61,393, lowest levels in about a fortnight.
International gold too remained under pressure after minutes of FOMC meet of Federal Reserve was released. The yellow metal traded at $1806.5 on Thursday early trades. The prices slipped by over 1% from previous close.
Comex Gold loses by over 1%
CME gold Futures opened down by about 1% at $1810.6 an oz (a troy ounce is equal to 31.1 grams) in the early trades on Thursday against earlier close of $1825.1. Comex gold futures was last quoted at $1806.1, losing from yesterday's intra-day high of $1830.7. However, gold maintained the trajectory above $1800 levels.
Investors turned away from the yellow metal after the US Federal Reserve's December Policy meet minutes showed a faster rate hikes with more aggressive monetary tightening. This will make alternate investments more attractive than the bullion.
The most active CME Silver March contract lost the important $23 levels on Thursday. The Silver Futures last quoted at $22.66 an oz at the opening trades on Thursday, down from previous day's closing of $23.170.
MCX Gold down by ₹300
MCX Gold February Futures opened weak tracking international developments. The US Federal Reserve's December policy meet minutes revealed faster rate hike cycle leading to make gold investments less attractive. The sentiment spilled over to Indian markets, with gold losing by 0.6% in the early trades on MCX futures.
The yellow metal was last quoted at ₹47,724 per 10 grams, down ₹297 or 0.62% at 10.20 am on Thursday. The Open interest for the February contract was 7,669 lots on Thursday.
MCX Silver Futures too tracked overall weakness in the bullion space. Silver March contract was last quoted at ₹61,318 a kg, down ₹920 or 1.5% at 10.20 am on Thursday. The open interest was recorded at 13,021 lots in the early trades on MCX.
Spot Gold loses ₹48,000 levels
Spot gold in retail was quoted at ₹48,150 per per 10 grams of 999 purity fine gold as quoted by India Bullion and Jewellers Association (IBJA) for Wednesday PM rates.
The spot retail prices recovered marginally from previous day's closing of ₹47,967.
Spot Silver quoted at ₹61,896 a kg little increased over previous day's closing but still below the crucial ₹62,000 levels.
Analysts speak
Analysts expect further pressure to continue on bullion after developments from US Fed's FOMC meet Minutes. However, the downside may be limited in the yellow metal amidst surging Covid-19 infections globally.
MCX Gold will continue to trade in the lower range of 47,696-48,332, while silver prices are likely to move between 61,439-62,963 on Wednesday.
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