The prices fell due to sluggish demand from jewelers amid a weak global trend.
Gold prices in the national capital declined on Thursday. The US Fed’s indication of only two rate cuts in 2025 had an impact on the price of gold. According to the All India Bullion Association, the precious metal of 99.9 percent purity fell by Rs 800 to Rs 78,300 per 10 grams. According to PTI news, it had closed at Rs 79,100 per 10 grams in the last trading session on Wednesday. The price of gold of 99.5 percent purity fell by Rs 800 to Rs 77,900 per 10 grams on Wednesday as compared to the previous closing price of Rs 78,700 per 10 grams. The prices fell due to sluggish demand from jewelers amid a weak global trend.
Impact of Fed Reserve’s decision
According to the news, traders said that bullion prices fell due to US Federal Reserve Chairman Jerome Powell’s stance after the US Central Bank’s decision to cut interest rates. The Fed now forecasts just two quarter-percentage percent rate cuts by the end of 2025, down from its forecast of four rate cuts in September.
gold in futures market
In futures trade on MCX, gold contracts for February delivery fell by Rs 303, or 0.4 percent, to Rs 76,350 per 10 grams. In the Asian trading session, Comex gold futures fell by $ 19.10 an ounce, or 0.72 percent, to $ 2,634.10 an ounce.
What do experts say
Saumil Gandhi, senior commodity analyst at HDFC Securities, said gold fell sharply after the Federal Open Market Committee (FOMC) meeting as the Fed said the pace of interest rate cuts for the next year was lower than earlier estimated. . Abans Holdings Chief Executive Officer Chintan Mehta said investors are awaiting US weekly unemployment claims data to be released later on Thursday to assess the strength of the labor market, while personal consumption expenditure (PCE) data on Friday is expected to be released later this week. ) to focus on price index data.
These things are going on regarding prices
Mehta said we expect gold prices to rise further, but any delay in additional interest rate cuts could lead to short-term downside, creating opportunities for accumulation. According to Nish Bhatt, Founder and CEO of Millwood Kane International, we expect the volatility to continue, with the main signals coming from the new administration in the US and the announcement of trade tariffs. Bhatt said traders expect gold prices to remain strong given the geopolitical situation in the markets, however, the rupee will see some weakness in the short to medium term.
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