Gold prices end five-week rally on ease in Iran-Israel conflict, dent in US Fed rate cut buzz
Gold rate today: On account of ease in the Iran-Israel war buzz and dent in the US Fed rate cut speculations in the upcoming US Fed meeting, gold prices witnessed strong profit-booking last week. Gold futures contract on the Multi Commodity Exchange (MCX) for June 2024 expiry ended its five-week rally and finished at ₹71,486 per 10 gm level, ₹2,472 per 10 gm or around 3.35 percent lower from its record high of ₹73,958 per 10 gm mark that it touched on 12th April 2024.
Spot gold price finished at $2,349.60 per troy ounce, nearly $100 per troy ounce or 4 percent lower than the lifetime high of $2,448.80 per troy ounce. According to commodity market experts, MCX gold rate today is below the crucial ₹72,300 per 10 gm level and now gold rates today have strong support placed at ₹70,500 per 10 gm mark.
In the international market, they said that gold price today has important support placed at $2,300 per troy ounce level. They said that gold prices have the potential to bounce back from key support levels in the domestic and the international market but US dollar rates will be the key as the US dollar index has regained the psychological 106 level after some profit-booking trigger.
Highlighting the reasons that are responsible for the gold price dip, Sugandha Sachdeva, Founder of SS WealthStreet said, "Gold's five-week winning streak came to a halt as the precious metal witnessed profit booking after reaching record highs. The primary reason behind this decline has been the receding geopolitical risks in the Middle East, which has reduced demand for gold as a safe-haven asset.
Read more on livemint.com
