Gold prices today: Metal trades flat at MCX, unmoved in global market; check local rates
Upstox
3 min read • Updated: May 9, 2024, 11:59 AM
Summary
Gold prices today: Spot gold was trading at $2,321 an ounce, down marginally by 0.08% as compared to the last closing price. This is significantly lower as compared to the all-time peak of $2,429 an ounce recorded last month.
Gold was trading flat globally, as well as in the Indian market, on Tuesday after rising marginally a day earlier. At the Multi Commodity Exchange (MCX), the prices remained largely unmoved till mid-hours of the intraday trading.
The per 10 gram of the yellow metal was valued at ₹71,441 on MCX at 1:08 pm, which was only 0.07% lower as against the previous day’s close.
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A similar trend was visible in the international market, with spot gold trading at $2,321 an ounce, down only marginally by 0.08% as compared to the last closing price.
After rallying since the start of this year, gold’s momentum slowed down over the past week when the metal dropped below the $2,300 an ounce-mark – marking its lowest in over a month – as tensions eased in the Middle East and the US Federal Reserve sounded non-committal for rate cuts in this calendar year.
Notably, gold had peaked to its highest-ever on April 12, when it was trading at $2,429 an ounce in anticipation of Iranian strikes against Israel. The demand for the safe-haven asset relatively eased in the next couple of weeks, as both the countries hinted at not further climbing the escalation ladder.
The relaxation in global gold prices continued last week even as the US non-farm jobs data released on May 3 showed a weak growth in employment. Only 175,000 non-farm jobs were added in April, as compared to the estimate of 240,000 jobs. The unemployment rate increased to 3.4%.
A weaker employment scenario pushes the case for rate cuts, which in turn is expected to increase the demand for gold. However, the lacklustre US non-farm jobs data failed to raise the yellow metal’s rates.
What are the retail gold rates in Indian cities?
- As per the retail rates tracked by Upstox, the per 10 gram of 24 karat gold in Mumbai was trading at ₹72,965, down 0.1%.
- In New Delhi, the retail prices increased by 1.6% to ₹73,683.
- In Chennai, the rate rose by 0.3% to ₹73,037, and it increased by 1.5% in Bengaluru to ₹73,755.
- In Kolkata, the price rose by 0.5% to ₹73,899.
In the medium-to-long term, the gold rally is expected to continue, say analysts, as global uncertainties make the metal the best buying option for central banks as well as investors. Citi Research, in a forecast released in April, said gold may touch the $3,000 an ounce mark in the international market in the next 6 to 18 months.