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Gold Prices Surge on MCX Amid Softer Dollar and Declining Oil

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Gold prices on MCX rose by 0.85% to Rs. 1,45,475 on August 5 due to a softer US dollar and declining crude oil prices. The RBI MPC policy decision today remains in focus for investors. Meanwhile, Brent crude futures declined 1.18% to $78.42 per barrel, while US West Texas Intermediate (WTI) edged lower by 1.57% to $74.58 per barrel.

Domestic gold prices saw a rise, with 24K gold increasing by Rs. 175 to Rs. 1,45,750 per 10 grams and 22K gold advancing by Rs. 160 to Rs. 1,33,600. Prices varied by city, with Mumbai and Kolkata mirroring the national price of Rs. 1,45,750, while Delhi was at Rs. 1,45,900, and Chennai at Rs. 1,45,750.

US gold prices also rose for a third straight session on Wednesday, driven by a softer dollar and lower oil prices. Spot gold was up 1.3% at $4,127.04 per ounce, while US gold futures rose 0.8% to $4,184.40. Other precious metals saw gains as well, with spot silver up 1.9% to $60.64 per ounce and platinum climbing 1.4% to $1,758.35.

Kelvin Wong, a senior market analyst at OANDA, noted the relationship between gold and oil prices remains intact, with potential further de-escalation in tensions leading to higher gold prices.

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