COMEX gold rose 0.17% to $4,391.30 per ounce on September 22, after trading between $4,382 and $4,414.10 an ounce. COMEX silver gained 0.58% to $66.80 an ounce, with prices moving between $66.515 and $67.325 an ounce.
Spot gold was little changed at $4,344.29 an ounce at 0151 GMT, while US gold futures were steady at $4,381.80 an ounce. Spot silver rose 0.3% to $66.19 an ounce.
Gold has faced pressure from expectations that US interest rates could remain elevated. The Federal Reserve raised its policy rate by 25 basis points last week and signalled that further increases could be needed to bring inflation under control.
St. Louis Fed President Alberto Musalem said the US central bank may need to raise rates further as strong demand and a broader commodity price shock continue to add to inflationary pressures.
“While crude has come modestly off its recent highs, a reversal higher that builds inflation expectations would only intensify the rates story, and gold would likely continue to face headwinds,” said Chris Weston, head of research at Pepperstone.
Investors are also tracking crude oil prices and developments around potential US-Iran talks at the United Nations General Assembly this week. Oil prices gained on Tuesday after falling over the previous few sessions.
In India, gold futures declined on Monday (September 21), with MCX October gold falling ₹832, or 0.54%, to ₹1.53 lakh per 10 grams. The contract had gained ₹1,597, or 1.04%, in the previous week.
The stronger US dollar and renewed concerns over further rate hikes weighed on domestic gold prices, while Indian buyers remained cautious amid subdued retail demand, according to analysts cited by PTI.
Prithviraj Kothari, managing director at RiddiSiddhi Bullions and president of the India Bullion and Jewellers Association, said gold and silver ended the previous week higher, with spot gold closing at $4,378 an ounce and silver gaining about 2.7%.
Kothari said gold was holding a technical range of $4,250-$4,450 an ounce, while silver remained between $62.50 and $67.50 an ounce.
For Indian investors, Vikram Subburaj, CEO of Giottus.com, said rupee is another key factor for Indian bullion prices.
A weaker rupee can cushion the impact of a decline in international gold and silver prices, although it can also add to domestic inflation pressures.
Recent price action has also highlighted elevated volatility, with gold moving between the ₹1.50 lakh and ₹1.55 lakh per 10 grams levels over a short period and silver trading around the ₹2.40 lakh per kg mark, he said.
Subburaj said the near-term direction of bullion would depend on the dollar, US yields, crude oil prices and geopolitical developments.
-With agencies inputs