Gold price today: Rates move up on elevated geopolitical tensions; experts share strategy for MCX Gold

Gold price today: Gold rates climbed in the domestic futures market Thursday morning, supported by positive global cues amid reports of escalating geopolitical tensions. A decline in the US dollar and bond yields also underpinned bullion. MCX Gold for December 5 expiry traded 0.32 per cent higher at ₹76,280 per 10 grams around 10:15 am.

In international markets, gold prices rose for the fourth consecutive session on Thursday, amid escalating tensions in the Russia-Ukraine conflict, while investors awaited remarks from Federal Reserve policymakers on the interest rate outlook.

"Ukraine fired a series of British Storm Shadow cruise missiles into Russia on Wednesday, marking the latest use of Western weapons on Russian targets, just a day after firing US missiles," reported Reuters.

Meanwhile, the US dollar and bond yields eased, making bullion more appealing to investors.

Experts say apart from geopolitical uncertainty, the Fed's move on interest rates would be a key trigger for gold prices in the near term.

Fed officials are giving mixed signals at the current juncture.

"Two Fed governors offered contrasting perspectives on US monetary policy on Wednesday, with one raising concerns about stubborn inflation, while the other remained optimistic about continued progress in reducing price pressures," reported Reuters.

Experts' strategy for MCX Gold

According to Rahul Kalantri, VP of commodities at Mehta Equities, the escalation in the Russia-Ukraine conflict, with Ukraine firing long-range missiles at Russia, boosted safe-haven demand for precious metals. Global growth concerns and potential US tariffs on China also boosted gold prices.

"Potential additional stimulus measures from China could provide further support to the metals. Gold has support at $2,632–2,518, with resistance at $2,667–2,680. Silver has support at $30.78–30.60 and resistance at $31.22–31.45. In INR terms, gold has support at ₹75,680–77,450, with resistance at ₹76,210–76,440. Silver has support at ₹89,450–89,050 and resistance at ₹90,750–91,480," said Kalantri.

According to Renisha Chainani, Head Research - Augmont - Gold For All, gold has retraced 50 per cent of this rally from ₹67,500 to ₹80,000 and prices have shifted from an overbought zone to an oversold zone. Gold is expected to continue rebounding up to ₹76,500 and ₹77,400, said Chainani.

Manoj Kumar Jain of Prithvifinmart Commodity Research said on the MCX, gold has support at ₹75,800-75,550 and resistance at ₹76,330-76,650. He suggests buying gold on dips around ₹75,900 with a stop loss of ₹75,660 for the target of ₹76,440.

(With inputs from Reuters)

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