Gold and Silver Prices Today: Gold slips to Rs 1,00,225/10g, Silver gains to Rs 1,15,917/kg; check city-wise gold prices

7 hours ago 1

Gold prices eased on Wednesday, dragged down by improved risk sentiment after US President Donald Trump announced a trade agreement with Japan. However, weakness in the US. dollar and falling Treasury yields helped limit further losses in the precious metal.

On the Multi Commodity Exchange (MCX), gold futures declined by Rs 104 or 0.1%, settling at Rs 1,00,225 per 10 grams. In contrast, silver futures gained Rs 262 or 0.23%, closing at Rs 1,15,917 per kilogram.

In global markets, spot gold dipped 0.2% to $3,422.95 per ounce by 0459 GMT, after hitting its highest level since June 16 earlier in the day. US gold futures also fell by 0.2% to $3,436.10 per ounce.

Trade Deal Eases Safe-Haven Demand

The pullback in gold came after President Trump confirmed a new trade deal with Japan that includes a 15% tariff on Japanese imports. The development lifted investor confidence, leading to a rally in Asian markets, with Japanese shares leading the gains.

Further, US and Chinese officials are expected to meet in Stockholm next week to discuss extending the deadline for finalizing a trade deal. Analysts suggest that more such agreements could weigh on gold by reducing safe-haven demand.

“If further trade deals are signed ahead of August 1, this could further boost general risk appetite and reduce the demand for gold,” said Tim Waterer, Chief Market Analyst at CM Trade. “However, if the dollar continues to weaken, a return to $3,500 remains a viable near-term target.”

Dollar Weakness and Fed Policy in Focus

The US dollar index hovered near a two-week low, making gold more attractive for holders of other currencies. Meanwhile, US 10-year Treasury yields dropped to their lowest since July 9, providing further support to gold prices.

President Trump also reignited pressure on the Federal Reserve, calling Chair Jerome Powell a “numbskull” and suggesting he would be removed within eight months. Analysts believe such political tension could create short-term volatility in bullion markets.

“These are low-liquidity conditions and could easily see volatility fade if Trump eases his stance on Powell. Bears may return if gold dips below $3,500,” said Matt Simpson, Senior Analyst at City Index.

Broader Precious Metals Movement

Spot silver fell 0.2% to $39.20 per ounce
Platinum edged down 0.1% to $1,439.65 per ounce
Palladium slipped 0.2% to $1,272.50 per ounce

However, in futures trading, silver remained strong. On Tuesday, gold August futures had settled at $3,443.70 per ounce, up 1.10%, while silver September futures rose 0.56% to $39.555 per ounce.

In India, gold August contracts on MCX closed at Rs 1,00,329 per 10 grams, up 1.01%, and silver September contracts at Rs 1,15,655 per kg, up 0.53%.

Expert Outlook: Volatility to Continue

According to Manoj Jain, Director at India Nivesh, "Gold and silver extended gains amid the looming US tariff deadline and dollar index weakness. Trade uncertainty and a weaker rupee are also supporting domestic prices."

He added that gold may continue to find support at $3,280 per ounce, while resistance remains near $3,500. Silver is expected to hold above $36.40. On MCX, gold has support at Rs 99,720–99,200 and resistance at Rs 1,00,700–1,01,000. Silver has support at Rs 1,14,850–1,14,000 and resistance at Rs 1,16,650–1,18,000.

Jain recommends buying silver in the range of Rs 1,15,200–1,14,400 with a stop loss at Rs 1,13,300 for targets of Rs 1,16,650–1,18,000.

Rupee and Dollar Index Under Pressure

The dollar index dropped 0.63% on Tuesday, closing at 97.09, amid speculation of upcoming Fed policy changes and trade-driven currency shifts. The USD-INR July 29 futures rose 0.13% to 86.4475 on the NSE.

Geopolitical tensions also weighed on the rupee. NATO's recent warning to India, China, and Brazil over importing Russian oil raised fears of secondary tariffs. This uncertainty, coupled with delays in the US-India trade deal, pushed the rupee to test 86.50 levels.

Currency analysts expect the rupee to remain volatile this week, with a possible trading range of 85.45 to 87.00 against the US dollar, driven by global trade dynamics and domestic market sentiment.