Gold and silver prices today: Yellow metal hovers below two-week highs, down by 0.04%

Gold opened on the Multi Commodity Exchange (MCX) on Friday at Rs 57,970 per 10 grams and hit an intraday low of Rs 57,931. In the international market, prices hovered around $1,873.51 per troy ounce. Meanwhile, silver opened at Rs 69,365 per kg, hit an intraday low of Rs 69,297 on the MCX, and hovered around $21.94 per troy ounce in the international market.

Anuj Gupta, Head of Commodity and Currency at HDFC Securities, said, "We noticed yesterday that gold prices closed on a flat note, down by 0.04% and closed at 57918 levels. After the US inflation data, the dollar index again increased and is currently trading at 106 levels. However, the war between Israel and Hamas remains positive for bullions as safe-haven demand increased."

Spot gold closed with a loss of 0.21% at $1869.76. Praveen Singh, Associate VP, Fundamental Currencies and Commodities, Sharekhan by BNP Paribas, said, "The metal declined from its day's peak of $1885 on hotter than expected US CPI inflation data for the month of September. Total known global gold ETF holdings increased for the first time in ten days. Gold support is at $1858/$1850. Resistance is at $1885. The metal gravitates lower on the US CPI inflation data."

Gold price is hovering below the two-week highs hit in the previous session, as better-than-expected economic data from the US boosted bets that interest rates would stay high for longer, lifting dollar and bond yields from their recent lows.

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Manav Modi, Analyst, Commodity and Currency, MOFSL, said, "Clashes between Israel and Hamas have boosted demand for safe-haven assets. Reports regarding the involvement of other countries in this tussle could escalate this matter further."

U.S. Treasury yields rose, and the dollar strengthened, while global stock markets fell after data on Thursday showed U.S. consumer prices increased in September amid a surprise surge in rental costs.

CPI data was reported better than expectations by 0.1% at 3.7%, while the Core CPI was in line with the estimates. Weekly jobless claims data was also slightly above expectations, supporting the dollar index and weighing bullions overall.

Modi said, "Fed Bank of Boston President Susan Collins said the latest inflation data underscores uneven progress toward restoring price stability, reiterating her view that the central bank might have to raise rates again to combat inflation. Focus today will be on Michigan consumer sentiment and inflation expectations."

Amit Khare, Associate Vice President at GCL Broking, said, "As per the daily chart, Bullions are making a bottom. We can see a good short covering rally in bullions. Traders are advised to make fresh buy positions in Gold and Silver near the given support level one with the stop loss of support level two and book near the given resistance levels: Gold December Support 57800/57500 and Resistance 58100/58200. Silver December Support 69000/68000 and Resistance 70000/71000."