MCX Gold slips to ₹1,23,860/10 grams on US govt resolution, strong dollar; Silver futures rally

This comes on the heels of a strong dollar and the US government shutdown resolution.

Similarly, on the MCX, the yellow metal contract for the February 2026 expiry was trading at ₹1,25,465 per 10 grams, down by ₹112 or 0.09%, at around 10:56 am.

Globally, Comex gold (for December) declined 0.04% to $4,114.70 per ounce.

The US Senate passed a funding bill to end the longest-running government shutdown in history. The agreement would fund the government until the end of January, which partially capped the gains for the safe-haven asset.

At the time of writing, the dollar index, which measures the strength of the greenback against a basket of six currencies, was trading 0.13% higher at 99.57.

Meanwhile, growing economic uncertainty in the US market has fuelled hope of a US Federal Reserve rate cut in December. US Federal Reserve Governor Stephen Miran recently signalled a larger 50 basis points rate cut to tackle rising unemployment and sluggish inflation.

US employment data last week showed job losses in October, particularly in the government and retail sectors, while consumer sentiment declined to a three-and-a-half-year low in early November.

Investors are also on the lookout for key inflation data, including the Consumer Price Index (CPI) and Core CPI in the US, as well as CPI and WPI inflation data in India, and economic numbers from China.

China’s central bank continued buying gold for the 12th month in a row in October, as per data from the People's Bank of China (PBOC).

On the market outlook, financial services firm JP Morgan projected that gold prices will remain supported in the longer term, expecting levels above $5,000 an ounce next year due to continued central bank buying.

However, silver futures for December delivery surged ₹578 or 0.37% to ₹1,55,265 per kilogram on the MCX.

On the MCX, white metal contract for the March 2026 expiry stood at ₹157900 per kilogram, up by ₹545 or 0.35%.

In the international market, Comex silver futures advanced by 0.43% to $50.95 per troy ounce.