Gold and Silver Prices Remain Steady Across Major Indian Cities, June 4 Update

Precious Metal Prices Trade Marginally Higher Amid Escalation of War in Iran

Precious metal prices traded marginally higher in early trade on June 4, amidst the escalation of the war in Iran. The international spot gold traded 0.49 percent higher to $4,489 per ounce, while silver edged 0.45 percent down to $73.36 per ounce over the last 24 hours in early Comex trade.

In India, the domestic MCX spot price closed the Wednesday's session at Rs 1,54,529 per 10 grams. On the other hand, the gold futures for the August contract on MCX closed the session 0.05 percent lower to Rs 1,58,445 per 10 grams, and silver futures for the July contract ended 1.43 percent down to Rs 2,62,900 per kilogram.

Market participants are now closely focused on this week's key US employment data, including Non-Farm Payrolls and unemployment figures, which could provide the next major trigger for both the dollar and precious metals. Recent US labour market data has drawn attention to the upcoming payroll report.

Read also: MCX Gold Price Surpasses ₹1.59 Lakh per 10 Grams, Silver Gains Amid Hopes for US-Iran Diplomatic Resolution

Jateen Trivedi, VP Research Analyst - Commodity and Currency at LKP Securities, notes that gold has largely remained trapped in a broad range over the past few weeks as uncertainty surrounding the US-Iran situation continues to keep markets cautious. The firm dollar and higher crude oil prices have weighed on bullion sentiment, with Brent crude holding near $98 increasing inflation concerns and strengthening expectations that central banks may keep interest rates higher for longer, which remains a negative factor for gold.

According to Trivedi, Rs 1,56,000 remains a key support zone, while Rs 1,61,500 continues to act as major resistance in the near term.

The Augmont Bullion report noted that gold and silver are trading weak amid continued uncertainty over US-Iran peace talks, which has pushed oil prices higher, raising inflation worries and supporting the case for a tighter Fed stance. The report states that gold stays range-bound between $4,450 and $4,600, with prices having rebounded from the lower edge of the range and are now expected to advance toward the upper edge. Silver remains range-bound between $72 and $78.50, having recovered from the lower boundary and is now expected to climb toward the upper boundary.

Read also: Silver Price Surges Amid Dollar Decline and Oil Price Rebound on US-Iran Diplomatic Developments