Gold and silver prices in India edged up today after falling sharply in the previous session. On MCX, gold futures rose 0.4% to ₹51.532 per 10 grams while silver futures gained 0.6% to ₹68350 per kg. In the previous session, gold futures fell 1% or so ₹500 when silver fell 1.5% or ₹1050 per kg. The precious metal is down ₹5,000 per 10 grams from record levels of ₹56200, struck last month.
In global markets, gold prices have remained stable today as optimism around a potential covid vaccine has increased appetite for riskier assets. Spot gold was flat at $ 1,941.11 an ounce. Among other precious metals, silver was down 0.3% to $ 26.68 an ounce while platinum gained 0.4% to $ 928.61.
Gold investors also remained cautious ahead of the US Federal Reserve’s monetary policy decision expected later this week.
Asian stock markets were mostly higher as US futures soared higher as hopes for a coronavirus vaccine were rekindled after AstraZeneca resumed its Phase 3 trial. In addition, Albert Bourla , CEO of Pfizer Inc., said it was “likely” the United States will roll out a Covid-19 vaccine to the public before the end of the year.
The dollar index slipped against its rivals. A weaker greenback makes gold cheaper for holders of other currencies.
Gold traders will focus on the two-day U.S. central bank policy meeting scheduled for September 15-16.
Since the start of this year, gold prices in India have risen by around 30%, following a global rally amid an unprecedented stimulus triggered by central banks and governments around the world.
In the midst of directionless trading in gold, investors backed away. SPDR Gold Trust, the world‘s largest gold-backed exchange-traded fund, said its holdings fell 0.4% to 1,248.00 tonnes on Friday.
Back in India, gold traders in India offered discounts for a fourth week in a row as demand suffered a further blow due to the start of the “ Shradh ” period, which was seen as unsuitable for buying gold. ‘gold and other assets.
Gold prices in India, the second-largest buyer after China, include 12.5% import duty and 3% GST. (With contributions from the agency)