Gold prices rise ₹300 to ₹1,29,700/10 gm in Delhi amid firm global cues; silver falls ₹1,000

Gold prices (99.9% purity, 24K) rose slightly by ₹300 on Monday to ₹1,29,700 per 10 gram in Delhi amid firm global trends. Gold of 99.5% purity advanced by ₹300 to ₹1,29,100 per 10 gram in the national capital.

Silver prices, however, fell ₹1,000 to ₹1,63,800 per kg on Monday.

In the overseas markets, spot gold was trading flat at $4,077.35 per ounce, while spot silver was quoting 0.66% higher at $50.89 per ounce.

"Last week's larger market sell-off, which was triggered by hawkish comments from US Federal Reserve officials that dampened expectations for a December interest rate cut, caused gold prices to drop 2.5% and silver prices to drop 5.5%,” a PTI report quoted Renisha Chainani, Head - Research at Augmont, as saying.

The US Fed is citing the shutdown blackout as justification for maintaining unchanged interest rates in December, Chainani added.

Gold, silver futures

Gold futures fell on Monday, declining to an intraday low of ₹1,22,172 per 10 gram on the Multi Commodity Exchange (MCX), while silver contracts fell to an intraday low of ₹1,53,310 per kg during the session.

At around 7:40 pm, gold futures for the December delivery were trading 0.6% down at ₹1,22,740 per 10 gram, and silver December contracts were trading 0.9% down at ₹1,54,488 per kg.

After the US Federal Reserve’s comments on rate cuts, expectations for another 25 bps cut in December have dampened.

According to commodity experts, traders are now closely tracking key US economic data releases, including jobs reports and the Federal Reserve's meeting minutes for fresh signals on the interest rate decision, another PTI report said.

Investors will also closely watch Federal Reserve Chair Jerome Powell's speech on Wednesday. Along with comments from other Fed officials throughout the week, which will drive the gold prices, the report said, citing the experts.