Gold and silver prices traded in a narrow range on Thursday after the US Federal Reserve’s latest policy decision. While , it recovered slightly during the day, reflecting mixed investor sentiment.
Gold futures on the MCX opened 1.27% lower at Rs 1,19,125 per 10 grams, compared to the previous close of Rs 1,20,666. Silver too began weaker, slipping 0.4% to Rs 1,45,498 per kg.
However, by the end of the day, gold settled marginally down by 0.15% at Rs 1,20,505 per 10 grams, while silver closed 0.54% higher at Rs 1,46,871 per kg.
Investors now await clarity on the progress of the US–China trade deal, with hopes that upcoming discussions between Presidents Donald Trump and Xi Jinping could bring positive developments.
According to Rahul Kalantri, VP Commodities, Mehta Equities Ltd., “Gold and silver started strong in the early session but gave up gains after the US Federal Reserve Chairman’s hawkish comments following the 25-basis-point rate cut to 4.0%. His cautious tone on further easing triggered profit-taking.”
He added that optimism around US–China trade talks reduced safe-haven demand for gold. “Despite the short-term weakness, gold and silver remain on track for a strong monthly and yearly performance,” Kalantri noted.
He further highlighted that in rupee terms, gold has support at Rs 1,20,070–Rs 1,19,480 and resistance at Rs 1,21,450–Rs 1,22,100. Silver, on the other hand, has support at Rs 1,44,950–Rs 1,43,750 and resistance at Rs 1,47,240–Rs 1,48,180.
Jateen Trivedi, VP Research Analyst – Commodity and Currency, LKP Securities, said, “Gold prices traded volatile with mild gains at Rs 1,21,130 per 10 grams, up 0.38%, as the US Fed’s rate cut failed to bring major cheer being largely on expected lines.”
He added that geopolitical tensions could still keep investors cautious. “Sentiment in bullion stayed supported after US President Trump hinted at allowing nuclear weapons testing, which kept the risk meter elevated,” he said.
Trivedi expects gold to remain range-bound in the near term, between Rs 1,18,000 and Rs 1,24,500 per 10 grams.
Experts believe gold and silver prices may stay volatile in the coming sessions, influenced by global cues such as trade negotiations, interest rate outlook, and geopolitical risks.
For now, traders are likely to take a wait-and-watch approach before taking fresh positions.
(Disclaimer: The views, opinions, recommendations, and suggestions expressed by experts/brokerages in this article are their own and do not reflect the views of the India Today Group. It is advisable to consult a qualified broker or financial advisor before making any actual investment or trading choices.)