Gold prices rise to Rs 1.50 lakh/10g; silver gains ahead of US economic data. Key levels to track

ETMarkets.com

Precious metals navigate a crucial week as inflation data and geopolitical tensions shape market sentiment.

In the domestic market, MCX silver futures for December 2026 delivery were up by Rs 540 to Rs 2,23,420 per kg. Gold futures for December 2026 delivery rose by Rs 450 to Rs 1,49,990 per 10 grams.

The US dollar stayed close to an 18-month high reached in the previous session, making dollar-priced metals more expensive for buyers using other currencies.

Markets are now looking at the Consumer Price Index (CPI) data due on Wednesday and the Producer Price Index (PPI) report scheduled for Thursday.

A higher-than-expected inflation reading, particularly in core inflation, could raise expectations of an October rate hike and trigger another decline in gold prices. Higher interest rates typically make yield-bearing assets more attractive to investors than gold, which does not offer a yield.

According to CME's FedWatch tool, traders currently see a 21% chance of a Fed rate hike this month, while pricing in an 88% probability of an increase in December.

Meanwhile, geopolitical tensions remained in focus after Saudi Arabia said it was facing a fresh barrage of incoming fire and that Riyadh airport would remain closed for now. The announcement came days after Saturday's deadly missile strike on a departure terminal, claimed by Yemen's Iran-allied Houthis.

Gold, silver international prices

Spot gold fell 0.2% to $4,164.45 per ounce by 0201 GMT, after touching a one-week high on Monday. US gold futures for December delivery slipped 0.1% to $4,187.90.

Among other precious metals, spot silver fell 0.5% to $60.01 per ounce, platinum declined 0.2% to $1,682.47, and palladium slipped 0.5% to $1,137.69.

How should you trade gold?

Manoj Kumar Jain of Prithvi Finmart expects gold and silver prices to remain volatile this week amid fluctuations in crude oil prices and the dollar index, along with geopolitical tensions. He said gold has support at $4,164-4,130 per troy ounce and resistance at $4,220-4,242, while silver has support at $59.80-59.10 and resistance at $61.20-62.40 per troy ounce in Tuesday's session.

On the MCX, gold has support at Rs 1,48,800-1,48,100 and resistance at Rs 1,50,150-1,51,000, while silver has support at Rs 2,21,400-2,20,000 and resistance at Rs 2,24,400-2,26,000.

Jain advised long-term investors to accumulate gold and silver gradually through a systematic investment plan (SIP) during the current decline, while suggesting that traders wait for stability in the markets.

Gold rates in physical markets

Gold Price today in Delhi

Standard gold (22 carat) prices in Delhi stand at Rs 1,09,872/8 grams while pure gold (24 carat) prices stand at Rs 1,19,848/8 grams.

Gold Price today in Mumbai

Standard gold (22 carat) prices in Mumbai stand at Rs 1,09,752/8 grams while pure gold (24 carat) prices stand at Rs 1,19,736/8 grams.

Gold Price today in Chennai

Standard gold (22 carat) prices in Chennai stand at Rs 1,09,752/8 grams while pure gold (24 carat) prices stand at Rs 1,19,736/8 grams.

Gold Price today in Hyderabad

Standard gold (22 carat) prices in Hyderabad stand at Rs 1,09,752/8 grams while pure gold (24 carat) prices stand at Rs 1,19,736/8 grams.