Gold Market
Gold fell 0.85% on Monday, hitting a one-month low of $4,253, as the 10-year US Treasury yield climbed above 5% for the first time since 2023 and the US Dollar strengthened. Markets await the Federal Reserve's policy decision on Wednesday.
The Federal Reserve faces a tough call at its September meeting, but with US debt at $40 trillion and a fragile economy, the outcome may matter little for gold investors in the longer run.
Gold trades in a narrow range just above $4,300 as a resilient US dollar and expectations of hawkish decisions from the Fed, BoE, and BoJ this week cap gains.
Gold is subdued around $4,330 at the start of a key week for the Federal Reserve. Rate hike expectations and rising bond yields are weighing on the precious metal.
Gold stabilised on Friday after a sharp 2% drop, with traders eyeing US inflation data for clues on the Fed's next move. Key technical support at $4319 is being tested.
Gold declined 0.9% to $4,360 after US producer prices and surging oil prices fuelled expectations of a hawkish Fed, sending yields and the dollar higher.
Gold has recovered above $4,400 after touching one-week lows near $4,350. Traders now await US PPI and CPI data for direction, while technical levels highlight resistance at $4,463 and support at $4,340.
Gold prices in India rose on Thursday, with the cost per gram reaching INR 13,509.58. The increase comes amid broader market factors. FXStreet calculates the data by adapting international rates.
Gold is currently trading around ₹1.5 lakh per 10 grams. An analyst expects it to move towards ₹2 lakh–₹2.1 lakh over the next 12 months, driven by rupee weakness, customs duties and global trends.