NEW DELHI — Gold and silver prices edged lower as a stronger U.S. dollar and profit booking weighed on bullion markets, even as geopolitical risks continued to lend medium-term support to precious metals.
On the Multi Commodity Exchange, gold futures for February slipped 0.33 percent to Rs 1,57,550 per 10 grams during intraday trade. Silver futures for March fell 1.92 percent to Rs 2,57,567 per kg.
Earlier in the session, silver prices declined more than 2 percent to an intraday low of Rs 2,57,100 per kg, while gold dropped as much as 1.3 percent to Rs 1,56,001 per 10 grams before recovering part of the losses.
The dollar index strengthened to 97.01 from 96.82 in the previous session, making dollar-denominated bullion more expensive for overseas buyers and pressuring prices.
Markets are currently pricing in at least two interest rate cuts of 25 basis points this year, a factor that is generally supportive for gold and silver amid expectations of a looser monetary policy stance. At the same time, geopolitical tensions continue to simmer, with uncertainty persisting despite signs of diplomatic engagement. Relations between the United States and Iran remain strained, with Washington advising U.S.-flagged vessels to avoid Iranian waters.
Market participants said the broader uptrend in COMEX gold remains intact, with the recent pullback seen largely as profit booking and healthy consolidation. For silver, strong buying interest has emerged in the $65–$70 support zone on COMEX, aligned with previous swing lows and long-term trend support.
Analysts identified near-term support for gold at Rs 1,56,600 and Rs 1,54,800, with resistance at Rs 1,59,100 and Rs 1,60,000. Silver support is seen at Rs 2,55,500 and Rs 2,48,800, while resistance levels are placed at Rs 2,68,000 and Rs 2,74,000.
Market watchers said structural supply deficits and steady industrial demand continue to underpin a bullish bias for silver, while persistent safe-haven demand and ongoing central bank purchases support gold’s longer-term outlook.
Investors are now looking to key U.S. economic indicators later this week, including the January non-farm payrolls report and inflation data, for further signals on the future path of Federal Reserve interest rates. (Source: IANS)
