There has been a rise in the prices of gold and silver in Delhi.
Gold prices have once again gained momentum in the futures market of the country. Gold prices have crossed Rs 1.25 lakh in the futures market of the country. On the other hand, the price of silver has crossed Rs 1.56 lakh. If experts are to be believed, there may be a further increase in the prices of gold and silver in the coming days. Now the biggest question is why there was a rise in the prices of gold and silver. The answer to this is the big update regarding rate cut in the policy meeting of the American Central Bank.
The signals being seen from the US Central Bank are that the US Fed may make another rate cut next month. The probability of which has reached around 80 percent. This is the reason why there was a rise in the prices of gold and silver in the American futures market on Monday. The effect of which is being seen on the country’s futures market MCX on Tuesday. Let us also tell you what kind of figures are being seen in gold prices in the futures market from America to India.
Increase in gold price
An increase in the prices of both gold and silver is being seen in the country’s futures market Multi Commodity Exchange. If we look at the data, gold is seen trading at Rs 1,25,121 with a rise of Rs 1267 at 9.20 am. Whereas during the trading session, gold rose by Rs 1,380 and reached a high of Rs 1,25,234. However, the price of gold had closed at Rs 1,23,854 a day ago and opened at Rs 1,24,789 in the morning.
On the other hand, the price of silver is also increasing. According to the data, silver prices are trading at Rs 1,56,571 with an increase of Rs 2,148. Whereas during the trading session, silver rose by Rs 2,931 and reached a high of Rs 1,57,413. However, silver had closed at Rs 1,54,482 a day ago. Whereas the opening was seen at Rs 1,57,162.
Gold and silver prices in foreign markets
If we talk about foreign markets, there is an increase in the prices of both gold and silver. According to data, in the Comex market of New York, gold future is trading at $ 4,178.40 per ounce with an increase of about $ 48 per ounce. Whereas the price of gold spot is trading at $ 4,143.17 per ons with an increase of about $ 7 per ons. Whereas the price of silver future is trading at $ 51.93 per ons with an increase of about two percent. The price of silver spot is at $51.45 with an increase of 0.17 percent.
Why did gold and silver rise?
Bart Melek, head of commodity strategy at TD Securities, said in a Reuters report that the market is increasingly believing that the US Federal Reserve is on track to cut interest rates in December. New York Fed President John Williams said on Friday that US interest rates could fall “in the near future”, which would not pose any threat to the Fed’s inflation target, and would also help protect against a downturn in the job market.
According to the CME Fedwatch tool, the probability of a cut in interest rates next month is 79 percent on Monday. Melek said that we are waiting for the figures and expect that they may be somewhat weak. Inflation is probably not very high and all this points towards good performance of gold. Investors are keeping an eye on key economic data that was delayed due to the government shutdown, including US retail sales, unemployment claims and producer price data due later this week.