Gold Rate Today: Gold, silver up in morning trade

Gold and silver prices were trading higher in morning trade on Monday following buying in precious metals by jewellers, industries, retailers and investors.

Safe haven demand amid worries about a partial US government shutdown and slowing global economic growth further supported metal prices.

MCX Gold was trading 0.68 per cent up at Rs 31,405 per 10 gram at around 10.35 am (IST), while MCX Silver was up 0.65 per cent at Rs 37,499 per 1 kg at around the same time.




According to SMC Global Securities, risk-aversion pushed up the prices of precious metals, after the FOMC voted to raise the key interest by 25 basis points and hawkish policy stance which was in line with expectation.

US Dollar index came under selling pressure and slumped to month low as the Fed’s rate hike was against the wishes of US president Trump. The scenario is changing as the US Federal Reserve Chairman Jerome Powell, signalled only two hikes (downgrade their forecast by reducing hikes from 3 to 2) in 2019 and also hinted a rate cut in 2020.

“Gold can take support near Rs 31,150 and can face resistance near Rs 31450 in MCX. While silver can take support near Rs 37,250 and can face resistance near Rs 37,800,” SMC said.

Meanwhile, gold holdings with SPDR Gold Trust were fell 0.34 per cent to 769.14 tonnes. With the year coming to an end, the world gold council has revealed the outlook for 2019 in which it mentioned that it’s possible that additional central banks will join the list of buyers, as seen in 2018 which will underpin its long-term performance.