Gold on MCX nears six-month low
The wedding season has started, if you also want to buy gold soon for your wedding, then this is a good opportunity. In fact, war has broken out again between Iran and America, due to which there is uncertainty in the global market and its effect is visible on the price of gold and silver. There was a big fall in the prices of gold and silver in India on Thursday. While the price of 10 grams of gold reached Rs 1,46,518, silver became cheaper by Rs 3,834 and reached Rs 2,31,671 per kg.
Gold reached its lowest level in six months
The increasing tension between America and Iran has increased the fear of inflation and high interest rates for a long time in the market. Due to this, gold prices slipped to the lowest level in six months. However, later a slight recovery was seen in gold due to return of some purchases.
Spot gold rose 0.4% to $4,089.12 an ounce, while US gold futures fell 0.5% to $4,111.10 an ounce. Spot silver was trading 0.3% higher at $63.86 an ounce.
Inflation concerns increased due to America-Iran tension
According to the report, America has attacked many targets in Iran, after which the tension between the two countries has increased further. Due to this, the prices of crude oil have increased and the concern about increasing inflation has deepened.
Although gold is considered a safe investment to protect against inflation, but when interest rates are likely to remain high for a long time, the pressure on gold increases because it does not earn any interest.
Investors keep an eye on American data
In America, the consumer inflation rate for the month of May has reached the highest level in three years. Now investors are keeping an eye on the Producer Price Index (PPI) data, which may indicate the next interest rate policy of the Federal Reserve.
Experts’ opinion
According to Jatin Trivedi of LKP Securities, the level of ₹ 1,45,000 is an important support for MCX gold, while ₹ 1,55,000 remains a major resistance. Unless gold crosses this level, the market trend may remain weak.
Ajay Kedia of Kedia Advisory says that MCX Silver may get support around ₹ 2,24,000, while resistance may be seen near ₹ 2,38,500.
Experts believe that US-Iran tension, inflation figures and global economic situation will decide the direction of gold and silver prices in the coming days.
Also read-Investors withdrew crores of rupees from Gold ETF, is the gold rally over?
