Stories
Gold Gains Rs 1,377 on September 25, But Remains 2% Down for the Week Amid Volatility
- •Domestic spot gold gained Rs 1,377 to Rs 1,51,377 per 10 grams on September 25, while futures for October delivery surged 0.66 percent.
- •Gold prices remained volatile, trading between Rs 1,50,000 and Rs 1,54,400, and declined over 2 percent for the week.
- •Expectations of another Fed rate hike in October and profit booking from higher levels contributed to the weekly decline.
- •Commodity analysts estimate the near-term gold price range to be between Rs 1,47,000 and Rs 1,54,000 per 10 grams.
- •A sustained rise in the Dollar Index above 101 or crucial Non-Farm Payrolls and Unemployment data could further impact gold prices.
Key Questions Answered
On September 25, domestic spot gold gained Rs 1,377 to reach Rs 1,51,377 per 10 grams on the MCX, while October delivery futures rose 0.66 percent to Rs 1,51,710. Internationally, gold briefly climbed above $4,314 per ounce during intraday trading before settling just above $4,295, marking a 0.49 percent increase over 24 hours though down 1.76 percent for the week.
Gold prices have faced pressure and volatility due to expectations of another Federal Reserve rate hike in October, a rising US 10-year yield, and profit-booking from higher levels. Additionally, geopolitical tensions including a Houthi missile strike on Saudi Arabia amid the US and Iran war have fueled oil supply disruption fears and impacted bullion markets.
Commodity analysts estimate that near-term gold prices will range between Rs 1,47,000 and Rs 1,54,000 per 10 grams, with spot gold support lying in the $4,250–$4,450 band. Meanwhile, domestic retail silver prices have held steady with spot silver trading around Rs 2,28,268 per kilogram.
