Gold slips on strong dollar, silver rebounds on MCX; Rupee hits record low
Mumbai, March 12 : Gold prices in India traded slightly lower on Thursday, even as silver prices recovered from early losses and moved higher due to strong buying at lower levels.
On the Multi Commodity Exchange (MCX), gold for April futures was trading at Rs 1,61,665 per 10 grams, down by Rs 124 or 0.08 percent.
The precious metal had opened higher at Rs 1,62,799 per 10 grams compared with its previous close of Rs 1,61,789, but later pared its gains amid weak global cues.
Experts said that strong buying interest remains visible in the Rs 1,56,000–Rs 1,57,000 demand zone.
“As long as prices hold above this base, the medium-term bullish outlook remains intact. A sustained breakout above Rs 1,65,000 could revive bullish momentum toward Rs 1,75,000–Rs 1,80,000,” an analyst stated.
Silver prices, however, showed strength during the session. MCX silver for May futures rebounded after initial losses and was trading at Rs 2,71,065 per kilogram, up by Rs 2,574 or 0.96 per cent.
The contract had opened at Rs 2,69,212 per kilogram, slightly higher than its previous close of Rs 2,68,491.
The decline in gold prices came as international bullion markets remained under pressure due to a stronger US dollar and reduced expectations of interest rate cuts in the near term.
A stronger dollar makes dollar-denominated commodities like gold more expensive for investors holding other currencies, which typically weighs on demand.
In global markets, spot gold slipped 0.2 percent to $5,165.73 per ounce, while US gold futures for April delivery fell 0.2 percent to $5,171.40 per ounce. Spot silver was largely steady at $85.82 per ounce.
Meanwhile, the Indian rupee hit a fresh record low on Thursday amid a sharp rise in crude oil prices and continued strength in the US dollar.
The local currency declined 0.3 percent to 92.3575 against the dollar, surpassing its previous lifetime low of 92.3475 recorded earlier this week.
On the Multi Commodity Exchange (MCX), gold for April futures was trading at Rs 1,61,665 per 10 grams, down by Rs 124 or 0.08 percent.
The precious metal had opened higher at Rs 1,62,799 per 10 grams compared with its previous close of Rs 1,61,789, but later pared its gains amid weak global cues.
Experts said that strong buying interest remains visible in the Rs 1,56,000–Rs 1,57,000 demand zone.
“As long as prices hold above this base, the medium-term bullish outlook remains intact. A sustained breakout above Rs 1,65,000 could revive bullish momentum toward Rs 1,75,000–Rs 1,80,000,” an analyst stated.
Silver prices, however, showed strength during the session. MCX silver for May futures rebounded after initial losses and was trading at Rs 2,71,065 per kilogram, up by Rs 2,574 or 0.96 per cent.
The contract had opened at Rs 2,69,212 per kilogram, slightly higher than its previous close of Rs 2,68,491.
The decline in gold prices came as international bullion markets remained under pressure due to a stronger US dollar and reduced expectations of interest rate cuts in the near term.
A stronger dollar makes dollar-denominated commodities like gold more expensive for investors holding other currencies, which typically weighs on demand.
In global markets, spot gold slipped 0.2 percent to $5,165.73 per ounce, while US gold futures for April delivery fell 0.2 percent to $5,171.40 per ounce. Spot silver was largely steady at $85.82 per ounce.
Meanwhile, the Indian rupee hit a fresh record low on Thursday amid a sharp rise in crude oil prices and continued strength in the US dollar.
The local currency declined 0.3 percent to 92.3575 against the dollar, surpassing its previous lifetime low of 92.3475 recorded earlier this week.