Gold, silver trade mixed amid hopes Fed may hold interest rates

Mumbai, July 2 (IANS) Gold and silver traded mixed in Thursday morning’s session, with gold edging lower on profit booking and silver extending gains for a third straight session amid expectations that the US Federal Reserve may not rush to raise interest rates.

On the Multi Commodity Exchange (MCX), gold futures (August) opened at Rs 1,43,882 per 10 grams, down Rs 548 or 0.37 per cent from the previous close of Rs 1,44,430.

At around 10:40 am, the yellow metal was trading at Rs 1,43,797, down Rs 633 or 0.44 per cent. During the session so far, gold touched an intraday low of Rs 1,43,771, down 0.45 per cent or Rs 659, and a high of Rs 1,44,448.

Meanwhile, silver futures (September) outperformed gold, jumping as much as 0.84 per cent or nearly Rs 2,000 to Rs 2,32,339 per kg, its intraday high so far.

The white metal was trading at Rs 2,30,790, up Rs 406 or 0.18 per cent. It touched an intraday low of Rs 2,30,513.

Earlier in the day, silver opened at Rs 2,31,196, up Rs 812 or 0.35 per cent from the previous close of Rs 2,30,384.

In the international market, gold was down 0.14 per cent at $4,076 per ounce, while silver edged up 0.14 per cent to $60.59 per ounce.

According to market experts, gold witnessed profit booking after COMEX gold corrected from the previous session’s peak of $4,115 per ounce, with investors awaiting the US non-farm payrolls report for fresh cues on the Federal Reserve’s interest rate trajectory.

However, softer-than-expected US jobs data and lower crude oil prices helped limit losses in the yellow metal.

Silver, meanwhile, is likely to maintain its positive momentum after rising for a third consecutive session, supported by easing US inflation expectations.

Experts said comments from the US Federal Reserve Chairman suggesting there is no urgency to raise interest rates have boosted sentiment for the white metal.

–IANS

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