Gold, silver prices fall up to 2 pc on weak global cues

Mumbai, July 7 (IANS) Gold and silver prices extended their losses for a second consecutive session on Tuesday, with both precious metals declining by up to 2 per cent amid weakness in global markets.

On the Multi Commodity Exchange (MCX), gold futures (August 5) opened marginally lower at Rs 1,46,566 per 10 grams, down 0.23 per cent, or Rs 351, from the previous close of Rs 1,46,917.

Selling pressure intensified later, with the yellow metal falling Rs 1,255, or 0.85 per cent, to Rs 1,45,662 at around 12 pm. During the session so far, it touched an intraday low of Rs 1,45,351, down 1 per cent, or Rs 1,566, while the day’s high stood at Rs 1,46,566.

Silver futures (September 4) also remained under pressure, declining as much as 2.24 per cent, or Rs 5,296, to hit an intraday low of Rs 2,30,803 per kg.

The white metal opened Rs 1,999, or 0.84 per cent, lower at Rs 2,34,100, against the previous close of Rs 2,36,099. At the last count, it was trading at Rs 2,32,549, down Rs 3,550, or 1.50 per cent.

The weakness was also reflected in international markets. COMEX gold was down 0.63 per cent at $4,141 per ounce, while silver declined 1.46 per cent to $61.41 per ounce.

According to the commodity market experts, the near-term outlook for gold remains mildly negative.

They said MCX gold needs to reclaim the Rs 1,46,000 level and sustain above the Rs 1,46,500-Rs 1,47,000 resistance zone to improve momentum, with a move above these levels potentially paving the way toward Rs 1,48,000.

On the downside, immediate support is seen in the Rs 1,45,500-Rs 1,45,000 range, with a breach likely to drag prices toward Rs 1,44,000-Rs 1,43,500.

For silver, analysts said the near-term outlook has turned cautiously weak after prices slipped below the Rs 2,34,000 support level.

A decisive break below Rs 2,32,000 could extend losses toward Rs 2,30,000, while a sustained move above the Rs 2,35,000-Rs 2,36,000 resistance zone could trigger a recovery toward Rs 2,38,000-Rs 2,39,000, the experts said.

Additionally, crude oil prices saw an uptrend. International benchmark Brent crude rose about 1 per cent to $72.77 a barrel, while US West Texas Intermediate (WTI) crude gained 1.12 per cent to $69.32 a barrel, remaining below the $70 mark.

–IANS

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