In the futures market, gold on the MCX opened steady at Rs. 46,796 per 10 gm. In the previous day's session it hit a high of Rs. 48200 per 10 gm.
After 70days of shuttering, bullion market has opened again and prices have remained steady as rupee appreciated and US-China war heightens.
Also, gold import for the last month has fallen by 99%, the second monthly drag on precious metal's imports as lockdown remains in force.
International gold prices
Even as economies have opened and risk-on sentiment improves, the downward side has been curbed because of US-China tensions and now the violent scenario in the US after
Also, indicating an uptick, the manufacturing activity has took an upturn and climbed back from 11-year low figure.
Another factor being supportive of gold is the softness in the US dollar.
"Risk-on is upbeat amid optimism over reopening of economies, signs of stabilisation in global factory activity and hopes of more stimulus from major economies despite lingering worries over US-China and worsening social unrest in the US is keeping gold in a narrow range. Weakness in the US dollar is supporting the gold bulls. While bias for safe-haven gold may be sideways to lower buying might remerge in corrections", Ravindra Rao, VP-Head Commodity Research at Kotak Securities said.
The price of 22-carat gold is about Rs 45,950 in New Delhi per 10 gram while in Chennai, the price is at Rs 45,070. In Mumbai, it is Rs 45,950
Outlook for gold
On the COMEX, gold is expected to trade between $1,720-1,755, while in the domestic markets it would be in the range of Rs. 46,800- Rs. 47,500.