Today’s Gold Price: Yellow Metal Rises with Positive Global Signals; MCX Gold Rate Outlook from Experts

Gold price today: Gold prices rose in the domestic futures market on Monday morning, following positive global trends. The optimism was driven by a 50 basis points US Fed rate cut and expectations of further rate cuts until 2026.

Rate cuts have a positive impact on gold prices. When the Federal Reserve lowers interest rates, the yields on interest-bearing assets like bonds and savings accounts decrease. This makes gold more attractive as it does not offer interest payments, thereby boosting its appeal to investors.

Furthermore, rate cuts typically lead to a weaker US dollar. As gold is priced in dollars, a weaker greenback makes it more affordable for investors holding other currencies. This increased affordability drives up global demand and subsequently lifts prices of gold.

International markets saw spot gold prices hover near record highs, fueled by optimistic traders following the initiation of the US rate reduction cycle. After a 50 basis points cut on September 18, the Fed hinted at further rate cuts in November and December this year, along with additional cuts of a full percentage point next year and half a percentage point in 2026.

Traders, as per the CME FedWatch tool, are currently projecting a 51% likelihood of a 50-basis-point reduction in November and a 49% probability of a 25-basis-point cut.

MCX Gold for October 4 delivery was trading 0.31% higher at ₹74,266 per 10 grams around 9:05 am.

Experts’ outlook for MCX Gold today

Gold prices are anticipated to witness volatility in the short term, influenced by the movement of the dollar and geopolitical developments.

“We expect gold and silver prices to exhibit volatility this week in response to fluctuations in the dollar index and geopolitical tensions. Gold and silver are likely to maintain their support levels of $2,564 and $29.80 per troy ounce, respectively, on a weekly closing basis,” stated Manoj Kumar Jain of Prithvifinmart Commodity Research.

“Gold has support at $2,622-2,610, while resistance is at $2,666-2,684 per troy ounce, and silver has support at $31.20-30.88, with resistance at $31.80-32.10 per troy ounce in today’s session,” Jain added.

“On the MCX, gold finds support at ₹73,800-73,550 and resistance at ₹74,280-74,600, while silver has support at ₹89,550-88,800 and resistance at ₹90,650-91,200,” Jain further mentioned.

Jain recommended waiting for corrective dips in gold and silver to initiate new long positions. He emphasized that the overall trend for these precious metals is bullish but cautioned against aggressive buying at current levels.

Rahul Kalantri, VP of commodities at Mehta Equities, expressed that gold and silver are currently engaged in a long-term bullish trend and might extend their gains in the coming months.

“Gold has support at $2,600-2,582 while resistance is at $2,634-2,651. Silver has support at $30.92-30.76 with resistance at 31.30-31.44. In INR terms, gold is supported at ₹73,850-73,640, while resistance lies at ₹74,240-74,420. Silver sees support at ₹89,450-88,750 and resistance at ₹90,750-91,480,” Kalantri explained.

Brokerage firm SMC Global Securities projected that gold could trade in the range of ₹73,800-74,200, while silver may see a trading range of ₹89,700-90,500, with a sideways to bullish bias.

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