Gold Price Again Surge; Close To Rs. 46000/ 10gm Despite Decline In Global Rates

Gold prices for June contract gained in Tuesday's (April 21) trade and scaled to an intra-day high of Rs. 45872 per 10 gm, after opening at Rs. 45,825 per 10 gm. In the futures market, gold price after declining pared most losses on Monday to end down by just 0.05% or Rs. 21 at Rs. 45714 per 10gm. The partial decline is attributed to global rates where prices declined to one-week low on account of strengthening in the dollar.

Importantly, futures prices or prices on the MCX for a futures contract are prices that are paid for the commodity now for the trade to be executed at a particular date and delivery of the commodity will also occur at an agreed upon date in future.

Gold Price Again Surge; Close To Rs. 46000/ 10gm Despite Decline In Global Rates

Spot markets in India are closed due to the nationwide shutdown.

In the international market, gold slipped as dollar was gaining amid opening of the economy but losses were limited due to weak equities market.

Spot gold eased 0.2% to $1,689.45 per ounce by 0031 GMT, while US futures prices which turned negative also increased the appeal for bullion. U.S. gold futures fell 0.4% to $1,704.60.

Outlook on Gold Prices

Gold prices in the coming time is likely to consolidate at a price below the recent highs of 2020 as demand on account of its 'safe haven' nature as there was weak retail consumption as well as gains in the dollar.

GoodReturns.in