Gold Dips Amid Global Cues, Silver Shines on Market Prospects

Gold prices dropped due to profit booking and weak global cues, while silver showed a mixed trend, turning positive later. U.S. inflation data suggested slower price pressures, reinforcing the possibility of Federal Reserve rate cuts. Rising geopolitical tensions supported silver prices in international markets.

Gold prices fell by Rs 783 to settle at Rs 1,33,738 per 10 grams in futures trading on Friday as traders took profits for the second consecutive day, amidst weak global signaling.

In the Multi Commodity Exchange (MCX), gold futures for February decreased by 0.58% in a trading volume of 15,457 lots. Meanwhile, silver futures exhibited mixed behaviors, initially dipping but later increasing. The white metal for the March 2026 contract jumped by 0.8%, reaching Rs 2,05,193 per kilogram across 13,157 lots.

Internationally, Comex gold futures for February deliveries decreased by USD 10.1 or 0.23%, settling at USD 4,354.4 per ounce. Despite the slump, gold remained near its October peaks and marked a second weekly gain. Analysts attribute this to US inflation figures that were better than anticipated, fostering expectations of Federal Reserve rate cuts. On the other hand, geopolitical tensions have buoyed silver prices, with silver futures for March 2026 trading 1.37% higher overseas.

(With inputs from agencies.)