Indian Gold Rate Falls Sharply Ahead Of Festive Season, Tracking Global Crash, Buy?

Indian gold price falls sharply today by Rs. 500, on September 24. The 22 carat gold rates quoted at Rs. 46,000, and the 24 carat gold rates quoted at Rs. 50,200/10 grams, falling by Rs. 500 to Rs. 530 respectively. After the US Federal Reserve interest rate hike by 75 bps, commodity markets went under pressure.

Tracking the global market trend, the Indian gold rate is also falling now. However, a dipping gold rate is good for Indian retail buyers, they will be able to buy gold at lower prices ahead of the festive season. During festive seasons, Indians like to buy gold, as the metal is considered auspicious. Hence, the present gold rate will be favorable to boost demands.

Today, the Comex gold futures were quoted at $1,651.70/oz, down by 1.75%, till last traded. Yesterday it was last traded at $1,681.10/oz. Till today, the yellow metal fell by 10.32% this year in the futures market. The spot gold prices were last quoted at $1645.40/oz, down by 1.14%, from the last trading day.

On the other hand, the US Dollar index gained to 113.02, up by 1.50%, till last traded. Today, in India, the Mumbai Commodity Exchange (MCX) gold in October future is quoted at Rs. 49399/10 grams, down by 1.20%, from the last trading day.

"Given the current sell-off and that Gold and Silver are both in bearish trends, I have found that it is best to use a calculated risk Options strategy in deeply oversold markets that haven't solidified a technical bottom. An options bull call spread is a trading strategy aiming to capitalize on an increase in the price of a given market or asset during times of high volatility or for counter-trend trades," analyst Phillip Streible told Kitco News commenting on the present market.