Gold, Silver Edge Lower Tracking Weak Global Cues

Gold is the world's oldest precious metal, and it has been treasured as a global currency, a commodity, an investment, and simply a thing of beauty for thousands of years. Due to a stronger dollar, gold prices on the global market fell. On the MCX, gold August futures were trading at 46,780 per 10 grams, down 0.49% or Rs 228 from the previous close of 47,008.

On the MCX, Silver September futures were trading at 68,720 per Kg, down 0.74% or Rs 513 at 2.41 pm IST. It touched an intra-day low of Rs 68,662 per kg.

Gold prices fell on June 29 as a result of a muted trend in international spot prices, which were lower due to a strong dollar, making the gold more expensive for holders of other currencies.

Spot gold was down 0.2 percent at $1,775.42 per ounce. US gold futures dipped 0.2 percent to $1,776.40. Against its peers, the dollar index rose 0.1 percent.

The world's largest gold-backed exchange-traded fund, SPDR Gold Trust, reported a 0.3 percent increase in holdings to 1,045.78 tonnes on Monday, up from 1,042.87 tonnes on Friday.

In recent sessions, prices have traded in a narrow range as investors remained cautious due to the US Federal Reserve's contradictory signals on policy tightening.

Amid weakness in the 10-year bond yields in the United States on June 28, gold and silver traded sideways. The international market for gold and silver ended on a mixed note.

The MCX does not calculate prices. The prices are determined by trading activity as well as a variety of other factors. In MCX Trading, the price of Silver and Gold is determined by the international price, the USD to INR conversion rate, the quoted unit of Gold or Silver, the Troy ounce to Grams conversion, and the supply and demand of Gold and Silver.