Gold prices today trade flat as US lawmakers dash $2,000 check hopes

NEW DELHI: Gold and silver futures prices in the domestic market traded flat with a negative bias on Thursday as the US Senate leader poured water on hopes of an extended pandemic relief checks.

In a blow to US President Donald Trump's demand for an increase in coronavirus relief checks to $2,000, Republican Senate Majority leader Mitch McConnell refused a quick vote on the bill, saying it had "no realistic path to quickly pass the Senate."

Precious metals are used as a hedge against inflation, which tends to kick in when money is pumped into the system.


Gold futures on MCX were down 0.01 per cent or Rs 7 at Rs 50,128 per 10 grams. Silver futures fell 0.11 per cent or Rs 74 to Rs 68,540 per kg.

In the spot market, gold was marginally down by Rs 16 to Rs 49,484 per 10 gram in the national capital on Wednesday amid a stronger rupee, according to HDFC Securities. However, silver gained Rs 205 to Rs 67,673 per kilogram.

Globally, gold edged higher on Thursday, heading for its best year in a decade, as a weaker US dollar outweighed pressure from a top Republican lawmaker's remark that a bill to increase US pandemic aid checks was unlikely to get Senate approval soon.

Spot gold rose 0.1 per cent to $1,894.66 per ounce by 0103 GMT. US gold futures climbed 0.3 per cent to $1,899.10.

Silver fell 0.3 per cent to $26.54 an ounce. Platinum gained 0.1 per cent to $1,066.91 and palladium was up 0.2 per cent at $2,366.01.