Gold and silver prices dip on stronger dollar and rising bond yields

Gold and silver prices dropped on Tuesday, October 6, driven by a stronger dollar and rising US bond yields. This trend overshadowed the support from weak employment data. On the Multi Commodity Exchange (MCX), gold futures opened at ₹1,48,928 per 10 gram, down ₹388 from the previous close. At the time of writing, gold was trading at ₹1,49,166 per 10 gram. In the global market, gold futures on Comex were near $4,150 per ounce.

Silver also saw a decline. The December silver contract on MCX opened at ₹2,25,127 per kg, down ₹960 from the previous close. It was trading at ₹2,25,601 per kg at the time of writing. On Comex, silver futures were near $61 per ounce.

Technical analysis by Ajay Kedia, director of Kedia Advisory, highlighted increased selling pressure in gold. Open interest rose 2.3% to 16,322, while prices fell by ₹1,074, indicating fresh bearish participation. Key support for gold is at ₹1,48,385, with resistance at ₹1,50,730. For silver, open interest fell 0.81% to 16,450, suggesting short covering. Support for silver is at ₹2,24,895, with resistance at ₹2,27,990.