Gold Prices Surge on MCX as US Inflation Data Looms
Gold and silver prices on the Multi Commodity Exchange (MCX) snapped a three-day losing streak, opening higher on Wednesday. Despite expectations of higher interest rates weighing on demand for non-yielding assets, investors turned their focus to US inflation data for clues on the Federal Reserve's policy path.
The US personal consumption expenditures (PCE) price index is due later in the day, with the nonfarm payrolls report scheduled for release on Friday. According to the CME FedWatch Tool, traders see a 50% probability of a Fed rate hike in October and a 92% chance of a hike in December.
Manoj Kumar Jain of Prithvi Finmart said gold has support at $4,164-4,140 per troy ounce, while resistance is placed at $4,220-4,250. For silver, support is seen at $60.60-60.00, with resistance at $62.40-63.00 per troy ounce in Wednesday's session.
Gold futures for October 2026 delivery gained Rs 1,114 to Rs 1,47,346 per 10 grams on the MCX, while silver futures for September 2026 delivery rose by Rs 1,050 to Rs 2,26,487 per kg. Higher interest rates tend to weigh on gold as investors may favour yield-bearing assets over the non-yielding metal.