Gold, silver prices today: Delhi, Mumbai, Chennai, Hyderabad, Kolkata rates; MCX gold at ₹1.42 lakh

Gold and silver prices retreated on Friday, July 31, after a sharp rally in the previous session, as investors booked profits amid a firmer US dollar and escalating geopolitical tensions in the Middle East. While domestic bullion futures slipped on the Multi Commodity Exchange (MCX), retail gold prices across major Indian cities remained near record highs, reflecting strong global cues and elevated international prices.

MCX gold August futures were trading 0.5% lower at ₹1,42,547 per 10 grams, while MCX silver September futures declined 0.4% to ₹2,19,117 per kg during morning trade. The decline came a day after both precious metals surged over 1% following the US Federal Reserve's decision to leave interest rates unchanged.

Profit booking weighs on bullion

Market participants attributed Friday's weakness to profit booking after Thursday's rally, even as geopolitical risks continued to underpin safe-haven demand.

The latest escalation in the Middle East saw Jordan intercept missiles launched from Iran after the US carried out strikes against Iranian targets in response to an earlier attack on an American military base. The widening conflict has heightened concerns over regional stability, keeping crude oil prices elevated, with Brent crude hovering near $88 per barrel.

Meanwhile, the US dollar index strengthened by around 0.4%, making dollar-denominated gold more expensive for overseas buyers and limiting gains in bullion.

The US Federal Reserve kept benchmark interest rates unchanged at its July policy meeting. However, three policymakers reportedly voted in favour of a 25-basis-point hike, highlighting persistent concerns over inflation despite recent moderation in price pressures.

US inflation data released overnight showed further easing. The Personal Consumption Expenditures (PCE) Price Index—the Fed's preferred inflation gauge—fell 0.1% month-on-month in June, while annual PCE inflation moderated to 3.7%. Earlier data had also shown US consumer inflation easing to 3.5% in June.

Analysts, however, caution that rising energy prices due to geopolitical tensions could keep inflation risks alive in the coming months.

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Gold, silver rates in major Indian cities (July 31)

Source: Retail bullion rates as of July 31.

Delhi gold prices

In Delhi, 24-carat gold was priced at ₹13,997 per gram or ₹1,39,970 per 10 grams, while 22-carat gold stood at ₹13,330 per gram. Silver prices in the national capital were steady at ₹235 per gram, or ₹2.35 lakh per kg.

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Gold trend in July

Despite Friday's decline in futures, gold has delivered a strong performance during July, supported by safe-haven demand and global uncertainty.

Ponmudi R, CEO of Enrich Money, said: "MCX Gold opened with a gap up near ₹144,000 mark, up 0.58% on the day, extending the recovery seen over the past few sessions. The daily chart shows price climbing out of its recent consolidation zone. Immediate support is at ₹143,300-143,000, with next support at ₹142,300-142,000. On the upside, immediate resistance is at ₹144,000-144,300, and a break above targets next resistance at ₹145,300-145,700. Gold's firmer tone tracks the global recovery, aided by dollar weakness. Overall, bias stays constructive, with a sustained move needed to clear ₹144,300 and open the path toward higher levels."

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According to Ravi Singh, Chief Research Officer at Master Capital Services, ₹1,40,000 remains an important support level for MCX gold, while ₹1,46,000 is the immediate resistance.

He said the broader trend remains positive as long as prices stay above the support zone, adding that a decisive move above ₹1.46 lakh could strengthen the recovery.

Manoj Kumar Jain of Prithvifinmart Commodity Research expects MCX gold to find support around ₹1,42,400-₹1,41,750, with resistance seen at ₹1,44,000-₹1,45,100. For silver, he pegged support at ₹2,17,700-₹2,16,000 and resistance at ₹2,22,200-₹2,24,500.

Given the sharp rally seen recently, Jain advised traders to consider booking profits in long positions ahead of the weekend while keeping an eye on developments in the Middle East and upcoming US economic data, both of which are likely to dictate the near-term direction of precious metal prices.