Gold prices recorded a modest gain on February 19, with domestic futures on MCX rising slightly while international rates hovered near the $5,000 mark on Comex. IBJA benchmark prices also moved higher.
Gold Prices Edge Up on MCX; Comex Holds Near $5,000 Mark
New Delhi: Gold prices rose slightly on February 19th. 24-carat gold on the Multi Commodity Exchange (MCX) was trading at ₹1,56,019 per 10 grams, up 0.17% by 9:29 am. Meanwhile, gold on Comex in the international market recovered after an initial decline and reached around $5,000 per ounce, although it remained slightly weak in the last 24 hours.
The Indian Bullion Jewellers Association set the benchmark price of gold at ₹1,51,963 per 10 grams on the evening of February 18th, a 0.51% increase from the previous close. These rates form the basis for the Reserve Bank of India's Sovereign Gold Bond (SGB) valuations.
Gold climbs near Rs1.53 Lakh; Key resistance seen at Rs1.55 lakh
On the other hand, the rupee remained at 90.86 per dollar. According to analysts, a breakout from the USD-INR range could lead to a further uptrend, impacting gold prices.
The price of 24-carat gold in India hovered around ₹1.54 lakh per 10 grams, while 22-carat gold hovered around ₹1.41 lakh and 18-carat gold hovered around ₹1.15 lakh. Slight variations in rates across major cities were due to local taxes, jeweler margins, and logistics costs, but overall prices remained largely the same.
According to Augmont Bullion's latest report, gold's rise has been limited in recent days due to a slight decline in safe-haven demand. Investors also booked profits as geopolitical tensions eased.
The strong US dollar continues to be a major pressure factor for gold. While soft inflation data had raised expectations of interest rate cuts this year, strong employment and economic indicators have reduced the likelihood of a sharp rate cut.
Gold, Silver fall as stronger Dollar pressures bullion prices; Check rates here
Experts believe that gold prices may remain volatile in the near term. A phased buying strategy on dips is considered preferable for long-term investors, while short-term investors are advised to monitor dollar movements and global cues.
