Gold Rates Bullish On August 24, Up By Rs. 320, Ahead Of US Jackson Hole Meeting

Indian gold prices are bullish today, August 20, ahead of the US Jackson Hole meeting, that will be organized this Friday on 'Economic Outlook.' Today, the 22-carat gold rate stood at Rs. 47,250/10 grams, and the 24-carat gold rate stood at around Rs. 51,550/10 grams, gaining by Rs. 250-320, respectively. US Federal Reserve Chair Jerome Powell will be giving his speech on economic policy, which is influencing the commodity markets now. However, interest rate, the US Dollar, and bond yield are the major driver of gold and silver rates globally.

Additionally, analysts are having mixed opinions regarding if the US central bank will hike its interest rate in September or not. If the Fed raises the rate by 50 bps or 75 bps, it will further impact the gold markets. "The dollar continues to draw ample strength from risk aversion and fears over the Fed reasserting its hawkish message this week. If Powell fortifies expectations around the Fed moving ahead with another jumbo rate hike in September and more tightening ahead, this could boost the dollar. Alternatively, a cautious-sounding Powell that expresses concerns over the US economic outlook may reduce the odds of big rate moves, weakening the dollar," FXTM senior research analyst Lukman Otunuga told Kitco News.

Today, the Comex gold futures were quoted at $1,760.30/oz, falling by 0.62%, from the last trading day. Yesterday it was last quoted at $1,771.20/oz. The yellow metal fell by 4.42% this year in the futures market. The spot gold prices were last quoted at $1748.60/oz, gaining by 0.63%, from the last trading day. The US Dollar index is quoted at 108.03. In India, the Mumbai Commodity Exchange (MCX) gold in October future was quoted at Rs. 51505/10 grams, falling by 0.19%, from the last trading day.

Further, commenting on the meeting and Powell's speech, Andrew Hunter, senior US economist of Capital Economics stated, "It is a key basis for our view that a recession can still be avoided over the coming quarters. The Fed is clearly hoping for a similar outcome, and officials may try to bolster that case next week," reported Kitco News.

Gold rates are quoted differently, daily. Today's gold rates in major Indian cities follow:

City	22 carat (INR/10 Grams)	24 carat (INR/10 Grams)
Mumbai	47,250/-	51,550/-
Hyderabad	47,250/-	51,550/-
Kerala	47,250/-	51,550/-
Kolkata	47,250/-	51,550/-
Delhi	47,400/-	51,710/-
Bangalore	47,300/-	51,600/-
Chennai	48,050/-	52,420/-