Gold and silver prices commenced the day on a positive note on the Multi Commodity Exchange on Wednesday, as investors looked forward to crucial US inflation data for insights regarding the trajectory of the US Federal Reserve’s interest rate decisions in upcoming meetings. In the domestic market, silver futures for September 2026 delivery increased by Rs 2,053, reaching Rs 2,46,180 per kg. Gold futures for October 2026 delivery increased by Rs 320, reaching Rs 1,63,202 per 10 grams. Previously, silver experienced a decline over three consecutive days prior to today’s increase, whereas gold saw a decrease in the preceding session.
The US Personal Consumption Expenditures price index for July, which serves as the Federal Reserve’s favoured measure of inflation, is scheduled for release this evening. Earlier this month, data revealed an unexpected decline in US nonfarm payrolls, while consumer inflation aligned with expectations, moderating the anticipation of a rate hike in September. Traders are factoring in a 60.4% probability that the Fed will maintain current interest rates in the upcoming month, as indicated by the CME FedWatch Tool. Lower rates tend to support gold, as the metal is a non-yielding asset. Markets are closely observing Fed Chairman Kevin Warsh’s address on Friday at the central bank’s Jackson Hole symposium.
Meanwhile, Iran announced the resumption of discussions with neighbouring Oman regarding the management of the Strait of Hormuz, as it contends with increased economic pressure from US President Donald Trump in the context of the broader conflict. Spot gold remained largely unchanged at $4,654.17 per ounce, following a peak not seen in over three months during the prior session. Spot silver increased by 0.2% to $68.80, platinum experienced a rise of 0.1% to $1,858.91, and palladium strengthened by 1.1% to $1,341.23. Manoj Kumar Jain indicated that gold on the MCX has established support levels at Rs 1,62,200-1,61,000 and resistance levels at Rs 1,63,650-1,64,400. In contrast, silver is showing support at Rs 2,41,400-2,39,100 and resistance at Rs 2,47,000-2,50,000.
He stated that Prithvi Finmart had advised purchasing silver in the range of Rs 2,44,000-2,41,000 on Monday, with a stop loss set below Rs 2,37,000 and target prices of Rs 2,49,000-2,52,500. Those maintaining long positions as advised should adhere to the specified stop loss and realise profits near the target levels, he stated. Jain noted that the firm had also suggested purchasing gold on Tuesday within the Rs 1,62,200-1,61,000 range, with a stop loss set below Rs 1,59,800 and targets of Rs 1,64,000-1,65,000. Those maintaining long positions in gold should adhere closely to the established stop loss and realise profits as they approach target levels, he stated.
