Mumbai: Gold and silver prices traded lower on Tuesday with precious metals declining up to 1 per cent amid elevated US yields and uncertainty over the US-Iran standoff which weighed on bullion sentiment.
On the Multi Commodity Exchange (MCX), gold futures (December) were trading at Rs 1,48,410 per 10 grams, down Rs 487 or 0.33 per cent.
The yellow metal declined as much as 0.50 per cent or Rs 747 to hit an intraday low of Rs 1,48,150 by 10:34 am. It touched an intraday high of Rs 1,49,034, up 0.09 per cent or Rs 137.
On the other hand, silver futures (December) fell as much as 1.29 per cent or Rs 2,942 to hit an intraday low of Rs 2,24,500 per kg.
At the last count, the white metal was trading at Rs 2,25,338, down Rs 2,104 or 0.93 per cent. It touched an intraday high of Rs 2,26,359, down 0.47 per cent or Rs 1,083.
The selling pressure in precious metals came amid elevated tensions between the US and Iran over the Strait of Hormuz which kept energy prices higher.
Spot gold was also trading lower after falling 4 per cent in the previous session to a seven-week low.
Iranian officials reportedly have privately expressed pessimism about reaching an agreement with Washington to end hostilities before the US midterm elections in November.
The developments came after US President Donald Trump rejected Iran’s latest proposal to reopen the critical waterway within seven days.
The uncertainty has kept energy prices elevated while higher US yields have added pressure on non-yielding assets such as gold and silver.
According to commodity experts, immediate resistance for gold is placed at Rs 1,50,000-1,50,700, followed by Rs 1,52,000-1,52,600, while support is seen at Rs 1,48,000-1,47,300, followed by Rs 1,46,000-1,45,300.
However, the near-term bias remained cautious, with a sustained move above Rs 1,50,000 needed to confirm a recovery. A decisive break below Rs 1,48,000 could trigger another decline.
For silver, the experts said the metal opened with a gap-down near Rs 2,26,000 and remained below the Rs 2,27,000-2,28,000 zone, which has turned into resistance following Monday’s steep decline.
Immediate resistance for silver is seen at Rs 2,27,000-2,28,000, followed by Rs 2,32,000-2,33,000. Support is placed at Rs 2,24,000-2,23,000, followed by Rs 2,20,000-2,19,000.
The bias for silver remained cautious to negative, with a sustained move above Rs 2,28,000 needed to stabilise the setup. A decisive break below Rs 2,24,000 could expose the metal to the Rs 2,20,000 region.
(IANS)
