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Gold Holds Near $4,200 as Fed Cut Odds Top 85%, Silver Hovers Near Record

Local markets in India and Pakistan reflect the rally with elevated rates on currency weakness.

Overview

  • Traders price an 86–90% chance of a 25 bps Fed cut this week, with spot gold holding around $4,195–$4,223 and futures near $4,240.
  • Silver trades near $58 after notching a record around $59.3–$59.9 last week, supported by tight inventories and strong industrial demand.
  • India’s rates remain high with 24k prices near Rs 1,30,000 per 10g across major cities, while Pakistan’s per tola rose Rs 1,600 to Rs 443,762 in step with global gains.
  • Supportive flows persist as the People’s Bank of China extended its gold purchases to a 13th month and ETFs logged fresh inflows in both gold and silver.
  • Positioning stays cautious before the FOMC decision and Powell’s remarks, with profit‑taking on MCX and BIS warnings highlighting the risk of sharp reversals.