Gold Price Outlook On Ganesh Chaturthi, September 7, 2024: What To Expect In 24K, 22K, 18K Yellow Metal?

Gold Prices Outlook: After a volatile start to the current week, gold prices in major cities of India gained momentum after a weaker-than-expected ADP Nonfarm payroll data escalated concerns about the slowdown of the US economy, which is likely to prompt the Federal Reserve to cut rates sooner. Lowering interest rates makes non-yielding assets like yellow metal attractive in the overseas market. Also, in India, the demand for gold is likely to be up due to the onset of the festival season with Ganesh Chaturthi on September 7.

Gold Prices In India:

Currently, the standard per 10 grams of gold is available at Rs 73,320 in 24K in India, while the prices of 22K and 18K are at Rs 67,210 and Rs 54,992 respectively.

So far, in the first week of September, gold prices are marginally up despite sharp volatility.

Gold Prices In Major Cities:

24K gold prices in cities like Chennai, Mumbai, Kolkata, Bangalore, Hyderabad, Kerala, and Pune are the same at Rs 73,320 per 10 grams. In the national capital, gold price is at Rs 73,470 per 10 grams, and in cities like Ahmedabad and Vadodara, the price is at Rs 73,370.

Gold Prices In Major Countries:

Taking into consideration 1 gram of gold, which is the cheapest yellow metal to buy currently, in Bahrain, this small piece of gold is at BHD29 or Rs 6,460 in Bahrain, at KWD22.70 or Rs 6,241 in Kuwait, at MYR345 or Rs 6,690 in Malaysia, at QAR286 or Rs 6,587 in Qatar, at OMR30.05 or Rs 6,554 in Oman, and at SAR285 or Rs 6,375 in Saudi Arabia.

Also, in key regions like Dubai, the gold price of 1 gram is at AED281.25 or Rs 6,439, at Rs USD76.50 or Rs 6,424, at GBP60.70 or Rs 6,692 in England, at CAD106 or Rs 6,558 in Canada, and at AUD116.10 or Rs 6,502 per 1 gram.

MCX Gold, Silver Prices:

While the commodity market is closed on September 7, due to the weekend holiday, the price outlook given is for the next trading session.

Accordingly, on Friday, MCX gold futures with October expiry ended at Rs 71,460 per 10 grams, marginally up ahead of Ganesh Chaturthi. MCX silver futures with December expiry ended at Rs 82,864 per 1kg, also higher compared to the previous session.

International Gold Prices:

As per Reuters, Gold prices eased on Friday, retreating from near-record levels reached earlier in the session after mixed U.S. jobs data cast doubts on the scale of interest-rate cut from the Federal Reserve later this month. Spot gold fell 0.8% to $2,495.86 per ounce, having hit its highest since Aug. 20, when gold last scaled a record peak. U.S. gold futures settled 0.7% lower at $2,524.60.

Gold Prices Outlook On Saturday and Ahead:

Jateen Trivedi, VP Research Analyst - Commodity and Currency, LKP Securities said that gold traded sideways near ₹72,000 in MCX and $2,519 in Comex with a slight gain of 0.12%, following yesterday's rise of over 0.70%. This increase was driven by weaker-than-expected ADP Nonfarm payroll data, heightening concerns about a U.S. economic slowdown and adding pressure on the Federal Reserve to implement a rate cut of at least 0.50 bps. As a result, gold found strong support under these conditions.

Further, Trivedi added that key resistance for Gold stands at ₹72,250-72,350 in MCX and $2,525-2,530 in Comex, while support is placed at ₹71,500-71,350 in MCX and $2,480-2,475 in Comex.