U.S. House of Representatives Speaker Nancy Pelosi hopes Congressional Democrats and the Trump administration can reach agreement on the coronavirus relief bill ahead of the election, but White House economic adviser , Larry Kudlow, told reporters on Monday that the talks had slowed down.
MCX gold futures rose 0.33% or Rs 170 to Rs 51,100 per 10 grams. Silver futures soared 0.94% or Rs 582 to Rs 62,488 per kg.
“Gold could rise due to the weak US dollar and a correction in global equities. Hopes of additional fiscal stimulus and unresolved tensions between the United States and China will also offer lower level support to the commodity. At the same time, the potential for a global economic recovery can hurt safe-haven demand for the commodity, ”said Hareesh V, head of commodity research at Geojit Financial Services.
On the spot market, gold prices fell from Rs 59 to Rs 51,034 per 10 grams in the nation’s capital on Monday, according to HDFC Securities. The money also carried Rs 753 to Rs 62,008 per kilogram.
Globally, gold prices rose in early trade in Asia on Tuesday, supported by a weaker dollar and concerns over the coronavirus outbreak and its economic fallout.
Spot gold rose 0.3% to $ 1,907.77 an ounce at 0116 GMT. US gold futures rose 0.2% to $ 1,909.20. The dollar index slipped 0.1% against a basket of currencies, making gold cheaper for holders of other currencies.
Holdings in SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, fell 0.14 percent to 1,263.80 tonnes on Friday.
Silver fell 0.5% to $ 24.45 an ounce, while platinum fell 0.7% to $ 895 and palladium fell 0.5% to $ 2,382.12.
Silver rose 0.5% to $ 24.43 an ounce, while platinum climbed 1% to $ 878.50 and palladium rose 0.3% to $ 2,358.03.