Gold prices on Multi Commodity Exchange (MCX) opened sharply lower on Tuesday, following weakness in international bullion prices as the announcement of Israel-Iran ceasefire by US President Donald Trump dented the safe-haven appeal for the yellow metal.
MCX gold rate opened lower at ₹98,807 per 10 grams, as against its previous close of ₹99,388 level. Gold hit an intraday low of ₹96,422 in early trade.
At 9:10 AM, MCX gold price was trading lower by ₹1,210, or 1.22%, at ₹98178 per 10 grams. MCX silver price was down by ₹825, or 0.77%, at ₹1,05,934 per kg.
In the global markets, gold prices fell to a near two-week low as risk appetite improved after Trump said Iran and Israel had agreed to a ceasefire.
Spot gold price was down 0.5% to $3,351.47 an ounce, after hitting its lowest level since June 11 earlier in the session. US gold futures slipped 0.9% to $3,365.30. Spot silver eased 0.1% to $36.10 per ounce.
US President Donald Trump announced a “Complete and Total CEASEFIRE” between Israel and Iran, meaning an official end to what he called the “12-Day War.”
However, while an Iranian official earlier confirmed that Tehran had agreed to a ceasefire, the country’s foreign minister said there would be no cessation of hostilities unless Israel stopped its attacks.
Meanwhile, US Federal Reserve Vice Chair for Supervision Michelle Bowman said that the time to cut interest rates is approaching amid potential risks to the job market. Moreover, Fed Chair Jerome Powell will speak before the House Financial Services Committee later on Tuesday.
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