Gold prices on MCX are seen in a bearish trend due to profit booking after hitting record high on Friday, December 12. Silver prices have also declined. At around 10:15 am, the MCX Gold February contract was trading marginally lower by 0.09 per cent at ₹132,360.00 per 10 grams. Meanwhile, MCX Silver March contract was down 0.56 per cent at ₹198,104.00 per kg.
In the previous session, silver hit a record high of ₹1,98,814 per kg on MCX and closed at ₹1,98,799, up 5.33 per cent. Gold February futures contract settled at ₹1,32,469 per 10 grams, up 2 per cent.
Both precious metals witnessed strong gains after the US Federal Reserve cut the federal funds rate by 25 basis points and hinted at the possibility of another rate cut next year. The dollar index fell to 98.30, making gold cheaper for foreign buyers and increasing demand.
Meanwhile, the rupee is at its record low against the US dollar. Weakness in the domestic currency is also supporting gold prices in India. Investors are now paying attention to the US inflation and non-farm payrolls reports due next week, which will give further signals about the US Fed’s monetary policy.
Where to invest money in commodities today
Today Manoj Kumar Jain of Prithvi Finmart is with us to give us the Profitable Commodity Call. Today they are seeing profit opportunities in gold and copper. Manoj Kumar Jain recommends buying MCX Copper (DEC) around ₹1100. Keep stop-loss at ₹1088 and target at ₹1124. Sona is Manoj Kumar Jain’s next choice. His advice is to buy gold in February contract around ₹131,800. Keep target at ₹134,000 with stop-loss at ₹130,660.