Gold trades flat while silver declines ahead of US inflation and Fed decision
2 min read
Gold and silver prices exhibited divergent movements on Thursday morning, as market participants remained cautious ahead of key US inflation figures and the Federal Reserve’s policy decision.
Key Takeaways
- Gold and silver moved in opposite directions Thursday as markets awaited US inflation data and the Fed’s policy decision.
- MCX October gold settled at Rs 1,54,177, up 0.27%, after touching an intraday peak of Rs 1,54,252.
- MCX December silver dipped to a low of Rs 2,42,726 after an early intraday high of Rs 2,44,265.
- Gold stayed below its 20-day exponential moving average, with near-term resistance seen around Rs 1,54,000.
MCX gold futures for October delivery opened at Rs 1,53,581, slipping 0.11 % (down Rs 182).
By 11 am, gold rose up to 0.31 % (Rs 489) to hit an intraday peak of Rs 1,54,252, and later settled at Rs 1,54,177, up 0.27 % (Rs 414).
Conversely, MCX silver futures for December delivery rose to an intraday high of Rs 2,44,265, up just 0.02 % (Rs 52), before dipping 0.60 % (Rs 1,487) to a low of Rs 2,42,726.
Analysts said MCX gold stayed below its 20‑day exponential moving average and near‑term resistance, remaining largely flat.
Gold’s near‑term resistance is expected in the Rs 1,54,000‑Rs 1,54,700 band; a firm break could drive prices toward Rs 1,56,300‑Rs 1,57,000. Support lies around Rs 1,50,700‑Rs 1,50,000, and a breach of the 100‑day EMA might push the market down to Rs 1,48,000.
An analyst noted, “The outlook stays cautious below Rs 1,54,000,” and warned that a fall below Rs 1,52,000 could spark a retracement to Rs 1,50,700.
Silver prices stayed around Rs 2,43,000, slipping 0.52 % yet remaining above key short‑term moving averages. Resistance is anticipated between Rs 2,45,000‑Rs 2,46,000 and later Rs 2,49,000‑Rs 2,50,000, while support zones are seen at Rs 2,42,000‑Rs 2,41,000 and Rs 2,37,000‑Rs 2,36,000.
Analysts kept a cautious view on silver’s short‑term outlook, warning that a drop below Rs 2,42,000 could lead to further weakness.
Market participants are eagerly awaiting Thursday’s US producer price index release and Friday’s consumer inflation data, both of which are expected to shape expectations about the Federal Reserve’s interest‑rate trajectory.
Many market experts expect the US central bank to leave rates unchanged at its September 15‑16 policy meeting.
Globally, gold prices gained as the US dollar weakened. COMEX gold rose to $1,472.60 per ounce, up 0.27 %, while COMEX silver fell 0.29 % to $18.44 per ounce.
Crude oil also rallied, with Brent crude climbing past $100 a barrel amid Middle East tensions. Brent rose 0.68 % to $101.90 per barrel, and US West Texas Intermediate jumped 1.81 % to $97.79 per barrel.
