Gold Rate Rises Rs 31,600/100 Grams In 1-Week, Silver Up Rs 5,000; 24K, 22K, 18K Gold Prices Weekly Outlook

Gold rates in India posted gains of up to Rs 32,000 in 1 week in terms of 100 grams of 24-carat gold. Meanwhile, 10 grams of gold rise Rs 3,200. Not just gold, silver rates in India climbed at least by Rs 5,000 last week. Both the precious metals posted weekly gains due to softer US inflation data, which eases the possibility of rate hikes in September policy. However, the West Asian conflict continues to be a major concern, as both the US and Iran have reached no resolution plans and instead have exchanged more warnings and threats. At MCX, gold futures are below the Rs 1.55 lakh mark, and MCX silver holds a little over the Rs 2.36 lakh level. In the global market, spot gold is above $4,380 per ounce and spot silver is near $65 per ounce. The trajectory between August 17 to 21st remains constructive for both gold and silver.

Gold Rates In India:

At present, the 24 carat gold price stands at Rs 15,513 per 1 gram, at Rs 1,24,104 per 8 grams, at Rs 1,55,130 per 10 grams and at Rs 15,51,300 per 100 grams.

Meanwhile, 22 carat gold is available at Rs 14,220 per 1 gram, at Rs 1,13,760 per 8 grams, at Rs 1,42,200 per 10 grams and at Rs 14,22,000 per 100 grams.

In case of 18 carat, 1 gram gold is priced at Rs 11,635, 8 grams gold is at Rs 93,080, 10 grams gold is at Rs 1,16,350, and 100 grams gold is available at Rs 11,63,500.

From August 10th to August 16th, 24 carat gold price has skyrocketed by Rs 31,600 in 100 grams and by Rs 3,160 per 10 grams. On August 10th, 10 grams and 100 grams gold prices were at Rs 1,51,970 and Rs 15,19,700 respectively.

Silver Rates In India:

Silver rates were volatile between August 10th to August 16th, but ended the week positively. For instance, silver went from Rs 2.45 lakh per 1Kg to climb weekly-high of Rs 2.55 lakh but corrected to settle around Rs 2.50 lakh. So, silver recorded a weekly surge of Rs 5,000, underperforming from gold.

Accordingly, 1Kg silver price is currently at Rs 2.50 lakh, while 100 grams and 10 grams silver rates are at Rs 25,000 and Rs 2,500. The price of 8 grams gold is at Rs 2,000 and 1 gram silver is at Rs 250.

MCX Gold Price + MCX Silver Price + Spot Gold Price + Spot Silver Price

At MCX, gold futures ended the week positive at Rs 1,54,590 per 10 grams and silver futures followed the trend to close at Rs 2,36,272 per 1Kg.

In the global market, spot gold rose over $4,380 per ounce but below its pivotal of $4,400 per ounce mark. Similarly, spot silver is also below its pivotal $65 mark to end the week at $64.66 per ounce. Overall, both the precious metals witnessed second consecutive weekly upside.

Why Gold & Silver Rates Are Rallying?

Analysts at SMC Global Securities said, "Gold and silver posted moderate weekly gains, supported by softer-than-expected U.S. inflation data. However, one major concern continues to cap the upside-ongoing U.S.-Iran geopolitical tensions and elevated crude oil prices, which could revive inflation risks if the conflict escalates. Market expectations for U.S. monetary policy have shifted significantly. According to the CME FedWatch Tool, the probability of a September rate hike has dropped to around 33%, compared with nearly 55% a week ago."

The decline follows weaker-than-expected July Nonfarm Payrolls and softer CPI and PPI readings. U.S. producer prices remained unchanged in July after a revised decline in June, while consumer inflation stayed subdued due to lower gasoline prices. Lower interest rate expectations typically support gold, as the metal does not offer any yield.

Gold Rates & Silver Rates Weekly Outlook:

Despite the supportive macro backdrops, analysts at SMC in their note said, "caution remains warranted."

At the latest Federal Reserve meeting, three voting members dissented in favor of a rate hike, and recent comments from Fed officials continue to highlight persistent inflation concerns. Additionally, geopolitical uncertainty remains elevated after Washington threatened to maintain a naval blockade of Iran, increasing tensions in the Middle East.

From the technical perspective, SMC's note added, COMEX Gold is facing strong resistance near $4,500, while immediate support is seen around $4,200. The broader trend remains constructive as long as prices hold above support. COMEX Silver is expected to trade within a $60-70 range in the near term. On the domestic front, MCX Gold has a crucial support level at Rs1,50,000. Abreak below this level could trigger a decline toward Rs1,48,000, while a sustained move above Rs1,55,000 may open the door for a rally toward Rs1,60,000. MCX Silver is expected to trade within the Rs2,29,000-Rs2,40,000 range

Another expert highlighted two competing forces that will impact gold and silver next week.

Looking ahead, Ponmudi R, CEO of Enrich Money said, commodity markets are likely to remain driven by two competing forces: growing expectations that the Federal Reserve will keep interest rates unchanged in September following a series of softer U.S. economic data releases, and persistent geopolitical uncertainty surrounding the Strait of Hormuz. While easing inflationary pressures and signs of a cooling U.S. economy continue to support precious metals through lower Treasury yields and a weaker dollar, unresolved tensions in the Gulf are keeping a geopolitical risk premium embedded in energy markets.

Investors Strategy In Gold & Silver:

Investor attention will now turn to the minutes of the Federal Reserve's July policy meeting, due on August 19, for greater insight into the unusually divided debate within the FOMC after policymakers voted to keep rates unchanged despite three dissenting votes in favour of an immediate rate hike. At the same time, developments surrounding the Strait of Hormuz will remain critical. A credible diplomatic breakthrough could reduce the geopolitical premium in crude oil and temper safe-haven demand for gold, whereas prolonged negotiations or renewed attacks on commercial shipping would likely keep both energy prices and bullion well supported, as per Enrich Money's expert.

Overall, commodity markets are expected to remain highly sensitive to incoming macroeconomic data, central bank communication, and geopolitical developments, with volatility likely to stay elevated as investors navigate the intersection of monetary policy expectations and Middle East tensions.

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