MCX silver jumps over 2% to ₹2.74 lakh/kg; Gold trades flat amid global uncertainties

At around 2:59 PM, the contract was trading ₹4,210 or 1.57% higher at ₹2,72,701 per kilogram in business transactions of 5,894 lots, compared to the closing price of ₹2,68,491 per kilogram it hit in the previous session, mirroring gains in the international market.

Globally, COMEX silver (April contracts) advanced as much as 2.16% to the session’s peak of $87.385 per ounce. At the time of writing, it stood at $86.885 per ounce, reflecting a 1.58% jump.

Gold futures for expiry in April rose as much as ₹1,202 or 0.74% to an intraday high of ₹1,62,991 per 10 grams on the MCX, as against the close of ₹1,61,789 per 10 grams in Wednesday’s session.

However, at the time of writing, it was trading flat with a positive bias at ₹1,61,931 per 10 grams, up by ₹142 or 0.09% in business transactions of lots, similar to the global market. Gold was trading in the negative territory before turning green. The contract had hit an intraday low of ₹1,61,076 per 10 grams, marking a 0.44% decline.

In the international market, COMEX yellow metal futures (for April) gained as much as 0.32% to the day’s peak of $5,195.90 per ounce. At the time of writing, it was trading 0.14% higher at $5,186.10 per troy ounce.

The volatility in gold and silver prices comes amid a surge in oil prices, which rallied past the $100 per barrel mark, amid reports of a recent attack on the Strait of Hormuz as hostilities rose in the Middle East.

On the macroeconomic front, the US consumer price index data released on Wednesday showed a 0.3% increase in February.

Investors will now also be awaiting the release of the Personal Consumption Expenditures (PCE) index data, the US Federal Reserve's preferred inflation gauge, on Friday.

According to the CME Group’s Fedwatch, traders expect the US Federal Reserve to keep policy rates steady at the upcoming Fed meeting from March 17 to 18.

Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading 0.12% higher at 99.354.