Gold rate today: Yellow metal trades lower; Suppot seen at Rs 49,100 per 10 grams level; Silver falls 1%

Updated : January 22, 2021 11:44 AM IST

US gold futures eased 0.1 percent to $1,863.90.

Gold prices in India traded lower on the Multi Commodity Exchange (MCX) Friday tracking a muted trend in the international spot prices. The gold futures for February delivery fell 0.25 percent to Rs 49,323 per 10 grams as against the previous close of Rs 49,448 and opening price of Rs 49,355 on the MCX at 11:35 am.

Silver futures traded 1.08 percent lower at Rs 66,575 per kg. The prices opened at Rs 67,000 as compared to the previous close of Rs 67,300 per kg.

“After a sharp rally this week, gold prices are likely to see some profit booking. Better-than-expected US housing, manufacturing and unemployment claims data also pressurized the yellow metal prices,” said Ajay Kedia, director, Kedia Commodity Comtrade.

International gold inched lower on Friday as US Treasury yields ticked up, though bets of a large US stimulus kept the metal on course for its best week in five, a Reuters report said.

Spot gold fell 0.3 percent to $1,863.56 per ounce, retreating from its highest since January 8 hit on Thursday. For the week, it was up 2 percent in what would be its biggest weekly gain since the week ended December 18. US gold futures eased 0.1 percent to $1,863.90.

Benchmark 10-year US Treasury yields held firm above 1 percent, helping the dollar trade steady. Higher yields increase the opportunity cost of holding non-yielding bullion.

Meanwhile, ECB President Christine Lagarde on Thursday kept the central bank's policy unchanged but said it was prepared to provide more support to the economy if needed.

Kedia is of the view that the gold prices may trade sideways to negative, going ahead.

“On MCX, gold may find support at Rs 49,100 level while resistance is seen at Rs 49,800 level. Support for silver is seen at Rs 65,600 level while resistance is placed at Rs 67,800 level,” Kedia said.

Meanwhile, weakness in the dollar index and a fall in domestic equity market could support prices at lower levels.

(Disclaimer: The views and investment tips expressed by investment experts on CNBCTV18.com are their own and not that of the website or its management. CNBCTV18.com advises users to check with certified experts before taking any investment decisions.)

Published : January 22, 2021 11:44 AM IST

Gold rate today: Yellow metal trades lower; Suppot seen at Rs 49,100 per 10 grams level; Silver falls 1%

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