Gold price today: Rates jump 1% ahead of US inflation data; experts reveal trading strategies, key levels for MCX Gold | Stock Market News

Gold price today: Gold rates surged nearly 1 per cent in the domestic futures market during Wednesday’s morning session as investors awaited November US inflation data to get cues on the US Federal Reserve’s interest rate path. Escalating geopolitical tensions and healthy demand from the domestic spot market also underpinned the yellow metal. MCX Gold for February 5 expiry traded 0.70 per cent higher at ₹78885 per 10 grams around 9:15 AM.

Gold prices in international markets hit a two-week high on Wednesday, ahead of the release of the US Consumer Price Index (CPI) data later in the day. The Producer Price Index (PPI) data, due on Thursday, is also in focus.

Experts expect the November CPI to come at 2.7 per cent against 2.6 per cent recorded in the previous month. November PPI may come at 2.5 per cent compared to 2.4 per cent in October.

Both are key macroeconomic prints that can influence the US Fed’s monetary policy decision on December 18.

Most economists and market participants expect the US Fed to cut rates by 25 bps next week.

According to a Reuters poll of economists, the US Fed is likely to cut interest rates by 25 basis points on December 18. However, the Fed may take a pause in late January amid concerns over inflationary risks.

News flow about geopolitical developments in the Middle East also boosted gold prices. According to a Reuters report, the Israeli military on Tuesday struck most of the strategic weapons stockpiles in Syria and hit two Syrian navy facilities.

Geopolitical uncertainty and interest rate reductions are key positives for gold prices.

Experts’ strategy for gold

Experts expect gold and silver prices to remain volatile today ahead of the US inflation data. They highlight while the outlook remains bullish for the yellow metal, the recent rally may trigger some profit booking.

” While the overall bullish outlook for gold remains intact, the sharp pre-event rally suggests caution. Traders are advised to maintain strict stop-loss levels near ₹77,250 on MCX. On the Comex, $2,540 will act as a robust support level as the market braces for the next major directional cue,” said Jateen Trivedi, VP Research Analyst – Commodity and Currency, LKP Securities.

“Gold has support at $2,684-2,667 while resistance at $2,714-2,728. Silver has support at 31.80-31.65 while resistance is at $32.22-31.40. In INR, gold has support at ₹78,080-77,840, while resistance at ₹78,690-78,940. Silver has support at ₹94,850-94,080, while resistance at ₹96,300-96,940,” said Rahul Kalantri, VP of commodities at Mehta Equities.

Manoj Kumar Jain of Prithvifinmart Commodity Research suggests buying gold above ₹78,400 with a stop loss of ₹78,140 for the target of ₹79,000 and buying silver around ₹95,200 with a stop loss of ₹94,450 for the target of ₹96,600.

“Gold has support at $2,700-2,684, while resistance at $2,747-2,762 per troy ounce and silver has support at $32.40-32.15, while resistance is at $33.00-33.30 per troy ounce in today’s session. On the MCX, gold has support at ₹78,000-77,770 and resistance at ₹78,700-79,000 while silver has support at ₹94,850-94,100 and resistance at ₹96,200-96,850,” said Jain.

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Disclaimer: The views and recommendations above are those of individual analysts, experts, and brokerage firms, not Mint. We advise investors to consult certified experts before making any investment decisions.