Gold is a safe haven asset class and deemed as a perfect hedge against inflation which is creating lot of nervousness among investor class and hence sell off in equities.
In the international markets, the US 10-year treasury yield has gained by as much as 3.8% to 1.255% and likewise on the move international gold price has treaded lower to just hold above $1800 at $1806.05 per ounce. This is even as the dollar index is at multi-month highs and was last at 93.02 as of July 21at 5:06 am EDT. This is as the threats on rising Covid 19 cases continue to tremble markets across the world.
In today's trade bullion market or the MCX is shut for the first session today i.e. between 9 am to 5 pm but will open between 5 to 11:55. In the previous day's trade, gold prices settled lower at Rs. 47,869, down 0.47% or Rs. 225. While silver futures also fell by close to 1 percent or Rs. 649 at Rs. 66,597 per kg.
In the retail market also there is hardly change in the price of gold. Gold for 24K in the national capital is quoting at Rs. 48,310 per 10 gm.