Gold rate today, 26 Feb 2024: Gold price dips as US dollar index hits 2-month high. US Fed rate, GDP data in focus

livemint.com:

Gold rate today, 26 Feb 2024: Amid speculations of a positive outcome in the US Q4 GDP data to be released on Wednesday this week, the US dollar index regained 104 level in early morning deals and touched a two-month high. This put gold rate today under pressure on Monday morning session in the Asian stock market today. Gold futures contract on the Multi Commodity Exchange (MCX) for April 2024 expiry opened lower at ₹62,327 per 10 gm level and went on touch an intraday low of ₹62,198 per 10 gm.

However, the yellow metal witnessed buying interest at the lower levels and the MCX gold rate came above the ₹62,200 level. In the international market, spot gold price is oscillating around $2,032 per ounce level. According to commodity market experts, the gold rate today is under pressure as the US dollar index has climbed to a two-month high.

They said that the rise in the US dollar rates can be attributed to the market estimates regarding the US GDP data for the fourth quarter of the current fiscal. They said that the market is expecting 3.3 percent US GDP data in Q4FY24, which is neutral because the US GDP in the previous quarter was also at 3.3 percent. This is expected to keep the inflation pressure intact and the market is expecting it as a negative outcome from the US Fed rate cut perspective.