Gold, silver prices today: Volatility to remain high; Jateen Trivedi flags key levels to watch

Gold and silver futures traded lower on Wednesday morning, with bullion prices facing pressure from a stronger US dollar and elevated US bond yields. Investors are also watching key technical levels for cues on the next move.

As of 9 AM on October 7, MCX Gold futures stood at Rs 1,49,660 per 10 grams, keeping the metal close to the Rs 1.50 lakh mark. MCX Silver futures were at Rs 2,26,000 per kg.

In international markets, COMEX Gold futures were trading at around $4,169.51 per ounce, while silver futures stood at approximately $61.17 per ounce.

Gold outlook

According to Jateen Trivedi, VP Research Analyst – Commodity and Currency at LKP Securities, gold continues to find support around the Rs 1.49 lakh level.

However, Trivedi said elevated US bond yields and a stronger Dollar Index, which is near 102, could limit further upside in bullion prices.  A stronger dollar generally makes dollar-denominated commodities such as gold more expensive for holders of other currencies, while higher yields can reduce the appeal of non-yielding assets such as gold.

Trivedi expects volatility to remain elevated in the near term. According to his outlook, gold could remain within a Rs 1,48,000–Rs 1,51,000 range.

The Rs 1.48 lakh– Rs 1.49 lakh zone therefore remains an important area to watch for support, while Rs 1.51 lakh could act as a key level on the upside.

For silver, the focus remains on whether prices can stabilise after the recent moves. With both precious metals sensitive to movements in the dollar, US yields and interest-rate expectations, upcoming US economic signals could remain important for bullion markets.

For now, gold remains close to the Rs 1.50 lakh mark, but the combination of elevated yields and a firm dollar could keep volatility high in the near term.