Silver declined Rs 200 to Rs 87,000 per kg from Rs 87,200 per kg the previous day.
Meanwhile, gold with 99.5 per cent purity also fell Rs 350 to Rs 73,450 per 10 grams, down from Rs 73,800 per 10 grams on Thursday.
The yellow metal extended losses on Friday, weighed down by rising US Treasury yields and a recovery in the dollar. indexmarket experts said.
Precious metal prices were also influenced by the minutes of the last day. Monetary policy The Monetary Policy Committee (MPC) released the RBI on Thursday. Reserve Bank Governor Shaktikanta Das said the current policy rate of 6.5 per cent is broadly balanced and any justification for easing the policy at this time may be misleading, according to the MPC minutes. Governor Das and three other members voted in favour of the status quo in the vote. repo rate on the Monetary Policy Committee, while two members argued for a rate cut. Globally, gold on Comex gained US Dollar 18.20 to trade at USD 2,534.90 per ounce. Silver was trading up 1.24 percent at USD 29.84 per ounce on international markets.
Minutes from the U.S. Federal Reserve’s July meeting revealed a strong inclination toward a rate cut next month, a move supported by at least two Fed officials, said Prathamesh Mallya, assistant vice president of non-agricultural commodities and currencies research at Angel One Ltd.
“Speculators overstated the likelihood of an aggressive rate cut before year-end; they have now cut their bets and are pricing in three 25 basis point cuts in the remaining three Fed policy meetings this year, down from four cuts priced in two days ago,” said Saumil Gandhi, senior commodity analyst at HDFC Securities.
This led to a recovery in Treasury bond yields and the dollar index from their recent lows, he added.
On the outlook, Mallya said gold is likely to find support as the market anticipates possible rate cuts by the US Federal Reserve.
Market traders are also looking forward to Federal Reserve Chairman Jerome Powell’s speech at the Jackson Hole symposium on Friday.
Disclaimer:
The information contained in this post is for general information purposes only. We make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability or availability with respect to the website or the information, products, services, or related graphics contained on the post for any purpose.
We respect the intellectual property rights of content creators. If you are the owner of any material featured on our website and have concerns about its use, please contact us. We are committed to addressing any copyright issues promptly and will remove any material within 2 days of receiving a request from the rightful owner.