Gold prices today: Yellow metal was slightly low on the MCX
Gold prices on Wednesday, February 9, 2022 were slightly down by 0.03 per cent to stand at Rs 48,415 per 10 grams on the MCX, though silver rose marginally by 0.3 per cent to trade at Rs 62,559 per kg.
Internationally, yellow metal moved near the two-week high of $1,827.37 per ounce ahead of a US inflation data release scheduled for later this week.
Among other precious metals, silver rose 0.4 per cent to $23.27 per ounce, while platinum fell 0.2 per cent to $1,030.08.
Gold prices have been moving within a particular range since the beginning of this year as expectations from the US Federal Reserve to hike interest rates, have capped gains.
The US inflation data for January is expected on February 10 (Thursday) and after last week’s robust labour data, expectations are rising of faster policy tightening by the US central bank.
“There’s this more of a wait-and-see approach with some of the bigger data that’s coming out later this week. Gold has shown it’s forming massive support around $1,800 and this will be an important week for gold,” said Edward Moya, senior market analyst at brokerage OANDA, in a Reuters report.
US consumer prices for January are expected to rise 7.3 per cent annually, according to a Reuters poll, after robust labour data last week fanned inflation fears.
“If actual (inflation) data issues as expected or higher, the dollar should strengthen along with U.S. Treasury yields leaving gold with substantial downside pressure,” DailyFX analyst Warren Venketas wrote in a note.
The Russia-Ukraine tensions are going to remain elevated despite some of the optimism from French President Macron, Mr Moya noted.