Gold and silver futures decline on MCX as the July series opens

Gold and silver prices dipped slightly on the MCX to start July 2024. Gold futures fell 0.17% to Rs 71,612 per 10g, while silver dropped 0.41% to Rs 89,483 per kg. US inflation data is influencing global precious metal markets.

Tiongpi has reported that the precious metals traded in Multi Commodity Exchange (MCX) were slightly down from their opening positions as the new trading month for July began. Gold futures were down by 0. 15% while silver futures fell by 0. 13% during the opening session of Monday.

Spot gold was trading at Rs 71,612 for the delivery of gold on August 5, 2024 while gold delivery for August 5, 2024 was lower by Rs 123 or 0. 17% from the previous close of Rs 71,582 from its new book. ” In the same manner, the silver futures which are to be delivered on September 5, 2024, were trading lower by Rs 368 or 0. 41%, and its current price stands at Rs 89,483/kg from Rs 89,540/kg, the previous closing price.

The slight dip however is received within a backdrop of an increasingly uncertain global economy. US inflation is now pointing downwards and this has triggered expectations that the Fed will probably start cutting interest rates this year. This economic outlook has contributed to sustaining the gold prices globally and the spot gold maintaining a stand of $2,324. to $44 per ounce in the early trade.

City-wise, gold prices (22 carat) varied across major Indian metros:City-wise, gold prices (22 carat) varied across major Indian metros:

- New Delhi: It is priced at INR 664 per 1 gram and Rs 66,400 for 10 grams.

- Mumbai: $ 1,263. 75 per 10 grams

- Kolkata: Rs 66,250 for 10 grams

- Chennai: Rs 660 per gram which makes it Rs 66,850 per 10 grams.

The prices of silver continued to be mostly stable in various cities at Rs 90,200 per kg; however, it was higher in Chenna at Rs 94,700 per kg.

As pointed out above, gold and silver are very sensitive to market forces, with analysts pointing to factors such as the exchange rate of rupee to dollar and global demand as key in the determination of prices for gold and silver in India. Today we see a slight pull back after a very good second quarter for gold; internationals prices of gold increased by more than 4%.

Also Read: Persistence of Central Bank Gold Purchase Program

Since markets are still processing the available economic data and central bank policies, fluctuations in the price of precious metals may be experienced in the coming weeks. Both investors and consumers will be keen to monitor how these trends progress over the current month of July.