Gold price rises on global trade concerns, silver follows suit
BusinessToday.In December 4, 2019
Gold prices traded firm on Wednesday, tracking strong overseas trend after US President Donald Trump indicated that a deal with China might not be happening till next year's US Presidential polls. This coupled with the recent tariffs by the US on steel imports from Brazil and Argentina led worries over global trade concerns and turned investors optimistic on the yellow metal.
Gold prices in Delhi rose to Rs 39,400 per 10 grams on Wednesday, tracking a similar move in global rates. In line with rising gold rates, silver prices too rose Rs 100 to Rs 47,000 per kg from Rs 46,900 per kg in the previous trade.
On MCX, Gold December futures were trading with a positive bias, 0.21% higher at Rs 38,331 per 10 grams. MCX February future too rose 0.02% at Rs 38,321 per 10 grams.
MCX Silver futures prices were up 0.17% to Rs 45,372 per kg.
In global markets, spot gold prices were today steady at $1,476.55 per ounce. Gold prices rallied about 1% on Tuesday, closing at a one-month high of $1,484 an ounce.
In the meanwhile, silver was trading with gains at $16.91 per ounce.
Gold has risen more than 13% this year mainly due to the 17-month-old trade dispute between the US and China.
"Unexpected rallies above Rs 38,300 would negate the bearish expectations and take prices higher," said Hareesh V, Head Commodity Research at Geojit Financial Services on the technical outlook of MCX Gold February.
In terms of London spot gold, he added, "A direct rise above $1475 would negate any bearish outlook."
(By Rupa Burman Roy)