Gold Price Rises Sharply In Bangalore After Fed Meet: 24K/100 Grams Gold Up By Rs 14,100 In 2 Days; Outlook!

Gold prices in Bangalore jumped sharply on August 1, extending its gaining spree for two consecutive days now. The reason for the uptrend is the US Federal Reserve policy outcomes where key interest rates were kept unchanged for the eighth time in a row, something that traders had expected. Another key booster for gold is that the Fed has not discarded the possibility of a rate cut in September. While the wildfire like war in Israel and its neighboring countries like Gaza and Lebanon, has supported gold.

In geopolitical tensions, gold is a haven to hedge returns in uncertainties.

Rahul Kalantri, VP of Commodities, Mehta Equities said that gold and silver prices experienced a strong upward movement on Wednesday after the Federal Reserve (Fed) indicated the possibility of reducing borrowing costs as soon as September. Consequently, US Treasury bond yields fell significantly, which in turn pushed the US Dollar (USD) to its lowest level since July 18, benefiting the non-yielding yellow metal."

Additionally, he added that the escalating geopolitical tensions in the Middle East contributed to the rise, pushing the safe-haven commodities to a two-week high during the Asian session on Thursday. Gold and silver also saw gains due to the strengthening of the Japanese Yen following the Bank of Japan's decision to increase policy rates by 15 basis points to 0.25%.

Looking ahead, Kalantri said, gold has support at $2,430-$2,410 and resistance at $2,462-$2,480. Silver has support at $28.77-$28.55 and resistance at $29.12-$29.30. In INR terms, gold has support at ₹68,820-₹68,650 and resistance at ₹69,390-₹69,550. Silver has support at ₹82,880-₹82,350 and resistance at ₹84,290-₹84,900.

Gold Prices In Bangalore On August 1:

24K Gold Prices: 100 grams of 24K is at Rs 7,03,600, up by Rs 5,400. While 10 grams here is at Rs 70,360 up by Rs 540, and that of 8 grams gold is up by Rs 432 to Rs 56,288. Meanwhile, the cheapest gram of gold is 1 gram in 24K which is currently available at Rs 7,036, up by Rs 54.

24K/100 grams gold was up by a whopping Rs 8,700 on July 31. Taking this into consideration, this gold is up by Rs 14,100 in 2 days now.

22K Gold Prices: Meanwhile, 100 grams of 22K jumped by Rs 5,000 to Rs 6,45,000. Further, 10 grams is up by Rs 500 to Rs 64,500, and 8 grams is up by Rs 400 to Rs 51,600. And 1 gram is at Rs 6,450 up by Rs 50.

18K Gold Prices: In this carat, the 100 grams price climbed by Rs 4,100 to Rs 5,27,800. And that of 10 grams is up by Rs 410 to Rs 52,780, and 8 grams is at Rs 42,224 up by Rs 328. Also, 1 gram of gold is up by Rs 41 to Rs 5,278.

Silver Prices In Bangalore On August 1:

1 kg of silver is up by Rs 1,500 to Rs 85,500. Further, 100 grams is up by Rs 150 to Rs 8,550, and 10 grams is up by Rs 15 to Rs 855. Lastly, 8 grams and 1 gram of silver are up by Rs 12 and Rs 1.50 to Rs 684 and Rs 85.50 respectively.

The cheapest silver is Rs 85.50.