Gold Prices Weekly Outlook In Dhanteras, Diwali 2024: How 24K, 22K, 18K Prices To React From Oct 28 - Nov 1

Gold Prices Outlook In India: After a historic week, all eyes will be once again on gold prices in India as the big season of buying these precious metals is kickstarting during the October 28 to November 1 trading session. Diwali festival which commences from Dhanteras, is an event that makes buying yellow and silver metal an auspicious moment. Practically, the majority of the Indian population will be saving to buy gold during these festivals as it is seen as a charm for good luck and prosperity ahead. What will be the price range of gold and silver in the coming days?

Apart from the festive cheer, gold prices are likely to be influenced by geopolitical tensions, lowering interest rates, a slew of economic data, and performance in treasury yields and dollars. Investors' sentiment will also be driven by the upcoming US election where both Donald Trump and Kamala Harris will be rivaling for a four-year presidential role in the country. Either one of them is expected to succeed the current President Joe Biden.

Gold Prices In India:

24K gold is currently at Rs 80,290 per 10 grams, while 22K and 18K gold prices are at Rs 73,600 and Rs 60,220 per 10 grams. These prices are at all-time highs.

Silver Prices In India:

1 kg of silver is currently at Rs 98,000 in India, while the cheapest silver to buy is currently at Rs 98. Further, 100 grams and 10 grams of silver is priced at Rs 9,800 and Rs 980.

MCX Gold, Silver Prices:

Meanwhile, MCX gold futures with December expiry surged by Rs 101 or 0.13% to end at Rs 78,428 per 10 grams on Friday. Earlier this week, this bullion touched its new all-time high of Rs 78,919.

Additionally, after market hours on October 25, MCX silver with December expiry closed at Rs 97,100 per 1kg, up by Rs 68 or 0.07%. Earlier, this week, silver touched its lifetime high of Rs 1,00,289 per 1kg.

Diwali festival will begin on October 29 with Dhanteras and will be celebrated widely across India till November 3.

Gold Prices Weekly Outlook:

For the commodity market's last week's performance, SMC Global Securities highlighted that gold and silver surged to new highs despite a spike in dollar and treasury yields.

SMC's report pointed out that on the commodity market front, the U.S. Dollar Index extended its winning streak for the fourth consecutive week, crossing the 104 mark, while U.S. Treasury yields surged on strong safe-haven demand. It was a historic week for gold, with prices reaching an all-time high of $2,772.7 as factors including safe-haven demand, spurred by U.S. election uncertainties and the Middle East war, combined with expectations of further monetary easing to amplify bullion's surge. Lower interest rates also increase the appeal of holding gold. Silver also surged, hitting multi-year highs above $35 on the COMEX. ON MCX, silver crossed the 100000 mark for the first time. Gold made a record high of 78919.

According to SMC's note, uncertainty was also high ahead of U.S. Election Day on Nov. 5, with polls showing a tight race between Donald Trump and Kamala Harris. A widening U.S. fiscal deficit is a growing concern, Scope Ratings said. New applications for U.S. unemployment aid unexpectedly fell last week, but the number of people collecting benefits in mid-October was the highest in nearly three years, indicating it was becoming harder for those losing jobs to land new positions.

Russia is in talks with other BRICS members about creating an international precious metals exchange to ensure fair pricing and trade growth, the country's Finance Minister Anton Siluanov said, SMC took note.

Meanwhile, SMC mentioned that the benchmark 10-year Treasury yields and dollar hovered near a three-month high, hindering gold's record run. U.S. economic activity remained steady from September to early October, with a slight rise in hiring, hinting at a likely 25-basis-point Federal Reserve rate cut soon. Elsewhere, China's imports of gold ore and concentrate plummeted in September because of a proposed rule change that could result in a substantial rise in tax liabilities for buyers.

Looking ahead, SMC lastly concluded, "Gold may trade in the range of 76700-80000, and Silver also trades in the range of 94000-100000, with sideways to bearish bias