On the Multi Commodity Exchange (MCX), gold futures for August delivery fell ₹983, or 0.69%, to ₹1.41 lakh per 10 grams. The contract recorded a turnover of 1,289 lots.
Silver futures also traded lower during the session, mirroring losses in overseas markets. According to MCX market data, bullion contracts remained under pressure amid cautious investor sentiment.
In the international market, COMEX gold traded at $4,045.80 per ounce, down $23.90 or 0.59%, while COMEX silver fell 0.46% to $58.83 per ounce.
The pullback came after US inflation data showed consumer prices fell 0.4% in June, with core inflation easing to 2.6%, below market expectations. While the data reduced expectations of an immediate Federal Reserve rate hike, the sharp rise in crude oil prices due to geopolitical tensions has revived concerns that inflation could remain elevated, limiting support for non-yielding assets such as gold.
Ravi Singh, Chief Research Officer at Master Capital Services, said MCX gold continues to remain in a weak technical setup.
“Gold is trading below its 21-day and 55-day exponential moving averages, indicating sustained bearish momentum. As long as prices remain below these levels, the preferred strategy remains ‘sell on rise’. The recent breakdown has strengthened the negative outlook, with the next downside target around ₹1.36 lakh per 10 grams,” he said.
Market participants will now monitor upcoming US economic data, Federal Reserve commentary and developments in the West Asia for fresh direction in gold and silver prices.
