Gold price today: Gold rate rose on the MCX on Thursday (30 April) morning, mostly on value buying after the US Federal Reserve maintained policy rates. However, gains were capped as crude oil prices vaulted to levels last seen four years ago, raising inflation fears and dimming the prospects of near-term interest rate cuts.
MCX gold June futures were 0.25% up at ₹1,49,420 per 10 grams, while MCX silver July futures were 0.71% up at ₹2,39,950 per kg around 9:05 am.
The US Federal Reserve on 29 April kept the federal funds rate steady for the third consecutive policy at 3.5%–3.75%. The central bank underscored that inflation risks have increased due to higher energy prices driven by the West Asian conflict.
Fed Chair Jerome Powell’s predictable but cautious tone did not have any material impact on market sentiment. The S&P 500 and Nasdaq ended almost flat on Wednesday, while most Asian markets ended lower.
US dollar and 10-year bond yields, however, jumped largely due to a sharp jump in crude oil prices. US benchmark bond yields jumped 0.25% to 4.43, while the dollar index also saw an uptick.
Crude oil prices jumped sharply amid reports of a fresh escalation in the US-Iran conflict.
Brent Crude now trades above the $120 per barrel, a level not seen since June 2022.
As per Bloomberg, the US Central Command has asked to send the Army’s long-delayed Dark Eagle hypersonic missile to the Middle East for possible use against Iran.
Besides, the US has reportedly frozen more than $344 million in cryptocurrency tied to Iran to cut off Tehran’s access to global revenue streams.
Elevated energy prices have fanned fears that inflation will rise in the coming months, suggesting no rate cuts this year. According to Reuters, markets are not expecting rate cuts this year and now see a 30% chance of a hike by March 2027, sharply up from roughly 5% a day prior.
Higher interest rates weigh on gold prices because it is a non-yielding asset.
According to Manoj Kumar Jain of Prithvifinmart Commodity Research, gold has support at $4,522 and $4,470, while resistance is at $4,600 and $4,640 per troy ounce, and silver has support at $70 and $68, while resistance is at $74.40 and $76.60 per troy ounce in today’s session.
“MCX gold has support at ₹1,48,400 and ₹1,47,700 and resistance at ₹1,49,800 and ₹1,50,500 while silver has support at ₹2,35,500 and ₹2,33,000 and resistance at ₹2,41,000 and ₹2,44,400,” said Manoj Kumar Jain of Prithvifinmart Commodity Research.
MCX gold, Jain said, has support at ₹1,48,400 and ₹1,47,700 and resistance at ₹1,49,800 and ₹1,50,500, while silver has support at ₹2,35,500 and ₹2,33,000 and resistance at ₹2,41,000 and ₹2,44,400.
“We suggest waiting for some stability in the markets for taking fresh positions,” said Jain.
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Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
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