Gold continues to show resilience despite recent pullback in Indian futures, as traders weigh softer US economic data and renewed geopolitical unease, supported by expectations of a pause in Federal Reserve rate hikes and geopolitical tensions from Iran.
Gold’s rally is proving resilient even after a pullback in Indian futures, with traders continuing to weigh softer US economic data against renewed geopolitical unease. IG market analyst Tony Sycamore said the metal is gaining support from expectations that the Federal Reserve may keep rates unchanged for the rest of the year, while hawkish rhetoric from Iran has helped bullion reassert its appeal as a haven. The move comes as investors reassess whether higher borrowing costs will remain a threat if inflation and energy prices stay elevated.
On the Multi Commodity Exchange, gold slipped 0.54% to Rs 155,093 as some traders booked profits after the recent rise. That weakness came alongside firmer oil prices: Brent crude advanced 0.73% to $91.53 a barrel, a move that can add to concerns about inflation and the policy response from central banks. Market watchers say the combination leaves gold caught between support from macroeconomic uncertainty and pressure from short-term profit-taking.
Technical levels remain closely watched. Internationally, gold has support at $4,440 and $4,400 a troy ounce, with resistance at $4,500 and $4,555. On the MCX, support is seen at Rs 155,000 and Rs 154,100, while resistance is placed at Rs 156,800 and Rs 157,700. Silver is in a similar position, with analysts pointing to recent profit-booking in the metal after a strong run, including outflows from silver exchange-traded funds earlier this year as investors turned more cautious.
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