Gold rate today: Yellow metal gains as US dollar, yields retreat; may face resistance at ₹59,800 per 10 grams

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₹58,398 per 10 grams as against the previous close of ₹58,290 and the opening price of ₹58,370 on the MCX. Silver futures traded 0.54 percent higher at ₹70,394 per kg. International gold rate rose from 5-month lows as the US dollar and bond yields slightly retreated from highs.

Benchmark 10-year US Treasury yields fell from their highest levels since October, while the dollar index dropped 0.3%, making non-yielding bullion less expensive for overseas buyers, Reuters reported. Spot gold gained 0.2% to $1,892.02 per ounce, while US gold futures rose 0.4% to $1,921.90. Also Read: Rupee opens 13 paise higher at 83.02 as US dollar retreats However, bullion prices were set for its fourth consecutive weekly decline on concerns the Federal Reserve would keep interest rates higher for longer.

“Even though there are signs that interest rates could remain higher, there are expectations that the Fed may not hike rates further. The hawkishness is coming down with China’s central bank cutting interest rates and India’s RBI keeping interest rates steady. This is likely to support gold prices further," said Ajay Kedia, Director, Kedia Advisory.

Moreover, the recent depreciation in the Indian rupee may also support the gold prices, Kedia added saying that the upside may remain limited. “On MCX, support for gold is seen at ₹57,800 level, while gold may face resistance at ₹59,800 level," Kedia said. The outlook for gold remains positive in the wake of the upcoming festive season wherein domestic physical demand is expected to gain momentum amid the recent fall in gold rate.