Gold Price Today: MCX Gold rates rise on US inflation data in focus; experts highlight key levels for bullion

Gold price today: Gold prices rose in the domestic futures market in the morning session on Wednesday, January 15, amid a slight drop in the US dollar ahead of the US inflation data. However, the yellow metal was muted in international markets, indicating investor caution ahead of US consumer price index (CPI)-based inflation data, which will weigh on expectations of the Federal Reserve’s interest rate path in the near term. MCX Gold for February 5 expiration traded 0.27 percent higher at ₹78,367 per 10 grams around 9:50.

Meanwhile, SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, said its holdings fell 0.23 percent to 872.52 tonnes on Tuesday from 874.52 tonnes on Monday, according to Reuters. This signals a subtle near-term shift in investor sentiment regarding the precious metal.

After the stronger-than-expected US jobs data last Friday, investors are anxiously awaiting the US CPI print due later today to gauge the Fed’s interest rate path. According to a Reuters poll, the CPI could have risen 2.9 percent year-on-year in December against 2.7 percent in November. On a monthly scale, it can increase by 0.3 per cent.

In addition to the inflation data, the focus is also on the “Trump factor”. Donald Trump takes office on Monday, January 20. Experts expect his policies on trade and taxes to drive inflation.

Of late, the rupee’s weakness has weighed on gold demand in the domestic spot markets.

The movement of the rupee is crucial for the Indian gold prices as India is one of the largest importers of gold globally. Therefore, a fluctuating rupee directly affects affordability and demand.

Since India is one of the largest gold importers globally, the weak currency makes gold expensive.

On January 15, the Indian rupee opened at 86.49 per dollar, up from its previous close of 86.53. The domestic currency hit a record low of 86.73 on January 13.

Experts highlight key levels for gold bullion

According to Rahul Kalantri, VP of commodities at Mehta Equities, gold has support at $2,652-2,640, while resistance at $2,685-2,698. Silver has support at $29.50-29.35, while resistance is at $29.88-30.05. In INR, gold has support at ₹77,980-77,750, while resistance at ₹78,370-78,550. Silver has support at ₹89.740-89.170, while resistance at ₹91,150-91,980.

Manoj Kumar Jain of Prithvifinmart Commodity Research suggests waiting for market stability before entering new long positions in gold.

He expects gold and silver prices to remain volatile ahead of the US inflation data.

“Gold has support at $2,666-2,650 while resistance at $2696-2722 per troy ounce and silver has support at $30.04-29.80 while resistance is at $30.60-30.88 per troy ounce in today’s session,” Jain said.

“MCX Goold has support at ₹77,950-77,720 and resistance at ₹78,400-78,660 while silver has support at ₹89,950-89,220 and resistance at ₹91,100-91,750,” Jain said.

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Disclaimer: The above views and recommendations are those of individual analysts, experts and brokerage firms, not Mint. We advise investors to consult certified experts before making investment decisions.