Gold prices were flat today in domestic markets after a sharp fall over the past few sessions. On MCX, April futures were up 0.13% to ₹39,570 per 10 gram after falling about ₹850 in the previous session. In Friday’s session, gold prices had shed about ₹1,800 per 10 gram, tracking a weakness in global markets. Silver continued to remain under pressure, with futures on MCX down about 0.11% to ₹36,168 per kg. In the previous session, silver futures had tumbled over 10% or ₹4,200 per kg, also following a steep correction in global rates.
Overall, gold shed about ₹5,000 per 10 gram in previous five sessions, falling from ₹ 44,500 levels to around ₹ 39,500.
Gold is typically viewed as a safe harbour in times of turmoil in global financial markets. But the recent sharp fall in gold prices has been attributed to flight for cash amid heightened volatility across markets over the coronavirus scare.
In global markets, gold prices today edged lower, extending their recent loss as investors rushed to raise cash amid heightened panic in financial markets over the coronavirus pandemic. Spot gold rates slipped 0.2% to $1,511.30 per ounce, after slumping 5% in the previous session.
Among other precious metals, silver prices rose 2.2% to $13.18 per ounce while platinum rose 3% to $638 per ounce.
Weak momentum may continue as long as
prices stay below $1535. Immediate support is
seen at $1470. However, a close below the
same is required to trigger major liquidation
pressure. A direct turn above $1545 would
take prices higher later. MCX GoldM Apr: Res
at ₹39900. Sup: 39280.
Geojit Financial Services Limited
Overnight, Wall Street stocks plunged the most since 1987 after US President Donald Trump warned of a possible recession, with economic disruption from the coronavirus potentially extending into summer.
Asian stock markets were mixed today. Monetary easing by a wave of global central banks, including the US Federal Reserve, and announcement of fiscal stimulus by various countries across the world has failed to quell investor concerns about the economic hit from the coronavirus.
