For Quick Alerts
For Daily Alerts

Gold Rates Surge Sharply By Rs. 600 India: What Should Investors Do?


Gold rates in the Indian domestic markets have surged sharply today. In the past two days, the yellow metal has corrected around Rs. 600/10 grams, on the back of a bearish equity market. The inflationary concerns all over the globe are concerning the central banks. So, the banks were hiking the interest rates. However, the corporates failed to safeguard their profitability from inflation and their stock prices fell sharply over the last few days. On this backdrop, investors are worried about what should they do. Some investors are again trying to take shelter under gold. But, many are waiting for the next inflation data to come out and the next US Fed monetary policy to publish to anticipate the upcoming roadmap of the yellow metal.

Gold Rates Surge Sharply By Rs. 600 India: What Should Investors Do?

Investors and traders are gaining confidence in the yellow metal again. Gold is again showing its potential as a hedge against inflation. Commenting on the present trend, Amit Khare, AVP- Research Commodities, Ganganagar Commodity Limited said, "Gold and Silver showed positive movement on the 19th May trading session, On the Multi-Commodity Exchange (MCX), June gold contracts closed up by 1.61% at Rs 50,544 for 10 grams. While July contract Silver futures closed at Rs. 61,564 a kilogram, 1.29% up. Yesterday June Gold made a low of 50058 then made a high of 50760, And Silver made a low of 60175 then made a high of 61750. As per technical chart Gold and Silver are making bottom, we can see a huge short covering rally in coming future, momentum indicator RSI also indicating the same in hourly as well as daily chart."

Today, in India the 22 carat gold rates gained by Rs. 400/10 grams, and 24 carat gold rates gained by Rs. 440/10 grams. The 22 carat gold rates are quoted at Rs. 46,700/10 grams, and the 24 carat gold Rs. 50,950/10 grams. Today, the Comex gold futures were quoted at $1844.40/oz, gaining by 0.16%, from the last trading day. Yesterday it was last quoted at $1841.20/oz. Similarly, the spot gold prices were last quoted at $1847.20/oz, gaining by 0.26%, from the last trading day. The US dollar index in the spot market stood at 102.89, falling by 0.02%. In India, the MCX gold in June future was quoted at Rs. 50,700/10 grams, gaining by 0.31%, from the last trading day.


Later Khare added, "The precious metals are boosted by a sharply lower U.S. dollar index and a slight decline in U.S. Treasury yields on this day. A wobbly U.S. stock market is also working in favor of the metals market bulls." Additionally, he has estimated June Gold's closing price at Rs. 50544, Support 1 at Rs. 50400, Support 2 at Rs. 50200, Resistance 1 at Rs. 50750, Resistance 2 at Rs. 50950.

Story first published: Friday, May 20, 2022, 17:03 [IST]
Company Search
Get Instant News Updates
Notification Settings X
Time Settings
Clear Notification X
Do you want to clear all the notifications from your inbox?
Settings X