Gold and silver prices in India today fell after a big jump in the previous session. On MCX, August gold futures were down 0.5% to ₹47,345 per 10 gram after surging about ₹600 in the previous session.
Tracking gold, silver also weakened today, falling 0.8% to ₹47,950 per kg, following a gain of ₹900 in the previous session. Gold traders are also keeping a close eye on India-China border tensions. Gold is used as a safe investment during times of political and financial uncertainty.
In global markets gold prices held steady as worries about rising coronavirus cases and geopolitical concerns offset optimism around a potential coronavirus drug and prospects of fresh stimulus from the Federal Reserve and Bank of Japan also supported the safe-haven metal.
Spot gold was flat at $1,727.22 per ounce. Among other precious metals, silver gained 0.4% to $17.46, and platinum was mostly unchanged at $820.04.
A widely used steroid called dexamethasone has become the first drug shown to be able to save the lives of COVID-19 patients in what scientists said is a “major breakthrough” in the coronavirus pandemic.
Global risk sentiment improved after the US Federal Reserve on Monday outlined its corporate bond buying program but fresh coronavirus outbreaks in some parts of the world and geopolitical tensions have offset it, say analysts.
Asian stock markets were lower today and US futures declined as investors weighed encouraging signs on policy stimulus against worrying increases in coronavirus cases.
The US dollar has strengthened today after better-than-expected US economic data. US retail sales jumped a record 17.7% in May, blowing past the 8% increase analysts expected.
The US dollar index, which measures the greenback against a basket of other major currencies, was up 0.07% at 97.005. Gold prices in India are influenced by global rates as well as US dollar-rupee exchange rates.
