New Delhi, Delhi
Gold prices in the Delhi bullion market rose on Wednesday after declining for two consecutive sessions. Supported by increased buying at lower levels and positive signals from global markets, the price of 99.9% pure gold increased by ₹700 to ₹1,49,300 per 10 grams. On Tuesday, gold had closed at ₹1,48,600 per 10 grams.
With Wednesday’s gain, gold recovered from its two-month low. Market experts said investors stepped up purchases at lower levels following the recent decline, providing support to gold prices. However, fluctuations in the US dollar limited the upside.
Silver Prices Remain Unchanged
Unlike gold, silver prices remained unchanged on Wednesday. In the Delhi bullion market, silver stayed at ₹2.32 lakh per kilogram for the second consecutive day.
In international markets, gold also recorded a modest increase. Spot gold was trading at around $4,190 per ounce, while silver declined 1.28% to $60.68 per ounce.
Chinese Demand Could Support Gold Prices
According to market experts, China’s Golden Week is set to begin on Thursday. Jewellery demand is expected to increase during the holiday period. A potential rise in gold demand from China could provide support to international gold prices.
Experts noted that gold prices had declined by more than 5% in September. Therefore, increased buying at current levels is being viewed as an important signal for the market.
US Economic Data in Focus
The direction of gold and silver prices in the coming days will largely depend on upcoming US economic data. Investors will closely monitor key indicators, including core PCE inflation, GDP and employment data.
If US inflation remains higher than expected, the dollar and bond yields could strengthen, potentially putting pressure on gold and silver. On the other hand, weaker-than-expected inflation data could strengthen expectations of lower interest rates, which may provide further support to precious metals.
