New Delhi: Ahead of the festive season, the gold prices have witnessed a sharp decline. This has raised an important question for buyers and investors: Is this the right opportunity to purchase the precious metal, or could prices fall further before stabilising?
This week, the international gold prices fell by around 4 percent, marking the metal’s weakest weekly performance in more than four months.
Gold slipped to USD 4,000 per ounce amid rising crude oil prices, renewed inflation concerns and fears of tighter US monetary policy. The decline has also impacted domestic markets.
Gold futures on the Multi Commodity Exchange (MCX) fell by nearly 4 percent during the week, touching an intrawEEK low of Rs 1,41,334 before closing at around Rs 1,42,024 per 10 grams. On Friday, gold futures fell 0.92%, or Rs 1,315, to close at approximately Rs 1,41,994 per 10 grams.
It is important to note that the immediate outlook remains uncertain, with experts closely watching the $4,000-per-ounce level. Talking to NavBharat Times, Ponmudi R, CEO of Enrich Money, a SEBI-registered online trading and wealth-tech firm, said COMEX gold slipped below $4,000 during the sell-off before recovering to around $4,008 towards the end of the week.
The immediate support zone lies between $3,970 and $4,000. A break below this range could drag prices towards $3,900. On the upside, gold faces resistance at $4,070-$4,100, followed by another resistance zone at $4,170-$4,200. A sustained move above these levels would be necessary to improve the near-term technical outlook.
In the domestic market, Ponmudi identified Rs 1,40,000-Rs 1,41,000 as the immediate support zone for MCX gold. A break below this range could push prices towards Rs 1,37,500-Rs 1,38,300.
Should You Buy Gold Before Diwali?
Jewellery buyers purchasing gold for weddings or festive occasions may find some relief from the recent decline. However, the possibility of further losses means buyers should avoid assuming that prices have already bottomed out.
The decision also depends on whether the purchase is intended for personal consumption or investment. Jewellery involves making charges and other costs, which can reduce its value as a short-term investment.
Gold rates in India on October 24:
Gold prices in India on Saturday were Rs 13,150 for 1 gram of 22-carat gold (up by Rs 10) and Rs 1,05,200 for 8 grams of 22-carat gold (up by Rs 80).
Gold Rate in Delhi:
22 Carat: The gold prices in Delhi today were Rs 13,170 for 1 gram of 22-carat gold (up by Rs 10) and Rs 1,05,360 for 8 grams of 22-carat gold (up by Rs 80).
24 Carat: The gold prices in Delhi today were Rs 13,829 for 1 gram of 24-carat gold (up by Rs 11) and Rs 1,10,632 for 8 grams of 24-carat gold (up by Rs 88).
Gold Rate in Mumbai:
22 Carat: The gold prices in Mumbai today were ₹13,120 for 1 gram of 22-carat gold (up by ₹10) and ₹1,04,960 for 8 grams of 22-carat gold (up by ₹80).
24 Carat: The gold prices in Mumbai today were ₹13,776 for 1 gram of 24-carat gold (up by ₹10) and ₹1,10,208 for 8 grams of 24-carat gold (up by ₹80).
Gold Rate in Kolkata:
22 Carat: The gold prices in Kolkata today were ₹13,220 for 1 gram of 22-carat gold (up by ₹10) and ₹1,05,760 for 8 grams of 22-carat gold (up by ₹80).
24 Carat: The gold prices in Kolkata today were ₹13,881 for 1 gram of 24-carat gold (up by ₹10) and ₹1,11,048 for 8 grams of 24-carat gold (up by ₹80).
Gold Rate in Chennai:
22 Carat: The gold prices in Chennai today were ₹13,070 for 1 gram of 22-carat gold (up by ₹10) and ₹1,04,560 for 8 grams of 22-carat gold (up by ₹80).
24 Carat: The gold prices in Chennai today were ₹13,724 for 1 gram of 24-carat gold (up by ₹11) and ₹1,09,792 for 8 grams of 24-carat gold (up by ₹88).
Gold Rate in Bengaluru:
22 Carat: The gold prices in Bengaluru today were ₹13,180 for 1 gram of 22-carat gold (up by ₹10) and ₹1,05,440 for 8 grams of 22-carat gold (up by ₹80).
24 Carat: The gold prices in Bengaluru today were ₹13,839 for 1 gram of 24-carat gold (up by ₹10) and ₹1,10,712 for 8 grams of 24-carat gold (up by ₹80).
Gold Rate in Hyderabad:
22 Carat: The gold prices in Hyderabad today were ₹13,070 for 1 gram of 22-carat gold (up by ₹10) and ₹1,04,560 for 8 grams of 22-carat gold (up by ₹80).
24 Carat: The gold prices in Hyderabad today were ₹13,724 for 1 gram of 24-carat gold (up by ₹11) and ₹1,09,792 for 8 grams of 24-carat gold (up by ₹88).
Gold Rate in Pune:
22 Carat: The gold prices in Pune today were ₹13,120 for 1 gram of 22-carat gold (up by ₹10) and ₹1,04,960 for 8 grams of 22-carat gold (up by ₹80).
24 Carat: The gold prices in Pune today were ₹13,776 for 1 gram of 24-carat gold (up by ₹10) and ₹1,10,208 for 8 grams of 24-carat gold (up by ₹80).
Gold Rate in Ahmedabad:
22 Carat: The gold prices in Ahmedabad today were ₹13,174 for 1 gram of 22-carat gold (up by ₹10) and ₹1,05,392 for 8 grams of 22-carat gold (up by ₹80).
24 Carat: The gold prices in Ahmedabad today were ₹13,833 for 1 gram of 24-carat gold (up by ₹11) and ₹1,10,664 for 8 grams of 24-carat gold (up by ₹88).