Overview
- International and domestic gold futures rose last week, with Comex December gold near $4,216 an ounce and MCX December gold roughly Rs 1.51 lakh per 10 grams, driven in part by bargain buying and softer US yields.
- A weaker Indian rupee has raised the landed cost of imported bullion, which has helped cushion MCX gold prices against international dips and supported a mildly positive bias for domestic gold.
- Markets are focused on incoming inflation data from India, China and the United States plus Chinese trade figures and comments from Federal Reserve officials as the main signals that will shape rate expectations and bullion direction.
- Silver faces tighter upside potential because of demand concerns and analyst warnings of a possible market supply surplus in 2027 that could weigh on prices even if gold rallies.
- Ongoing geopolitical tensions in the Middle East, including recent comments by US leaders on potential military action related to Houthi attacks, continue to push some investors into bullion for safety and add volatility to the market.