Gold Price In India: Gold futures traded lower on Wednesday, September 22, as the yellow metal mirrored trends in international markets. On the Multi Commodity Exchange (MCX), gold futures due for an October 5 delivery, were last seen trading lower by Rs 74 - or 0.16 per cent - at Rs 46,564, compared to their previous close of Rs 46,638. Silver futures due for a December 3 delivery were last up 0.55 per cent at Rs 60,769 against a previous close of Rs 60,439.
Domestic spot gold opened at ₹ 46,871 per 10 grams on Wednesday, and silver at ₹ 60.954 per kilogram - both rates excluding GST, according to Mumbai-based industry body India Bullion and Jewellers Association (IBJA).
Domestic prices of gold mostly follow trends in global markets. In India, gold and rupee are dependent on each other. Gold is considered to be a hedge against inflation by most industry experts. It is said to retain value much better than other forms of currency.
Mr Amit Pabari, MD, CR Forex:
''Either the news of default by Evergrande or clues for tapering timeline with dot plots could likely slit through the markets causing a dollar bull run. So far, the risk-off sentiment in markets has led the dollar index to trade near a month's high of 93.20 levels.
Particularly after mixed economic data that was released last week with retail sales unexpectedly rising while inflationary pressures slowing, it will be watchful how Fed will showcase the dot-plot for rate hikes and provide comments thereon.
Developments in policy meetings are likely to drive the further movement for the USDINR pair. Till then, the rupee to trade in the range of 73.30-73.90 zone in the near term before any big market triggers takes it towards 74.20-74.40 levels in the upcoming time.''
Ravindra Rao, CMT, EPAT, VP- Head Commodity Research at Kotak Securities:
''COMEX gold trades little changed near $1777/oz after a 0.8 per cent gain yesterday. Gold trades little changed today as market players moved to sidelines ahead of the Fed decision. Mixed ETF activity also shows lack of direction in the market.
However, supporting price is persisting virus concerns, concerns about the health of the Chinese economy and geopolitical tensions. Gold has come off the lows however a sustained rise may come only if Fed fails to meet market expectations of giving a clear timeline for bond tapering.''