Gold and Silver Prices on MCX Ease Amid Profit Booking and Dollar's Rise

Market Update (March 12)

The MCX gold price eased on Thursday morning, down 0.10% at ₹1,61,660 per 10 grams, while MCX silver May futures were 0.57% down at ₹2,66,969 per kg. The decline in prices was attributed to profit booking and tepid spot demand, amid the dollar's rise against major peers.

Geopolitical Risks and Oil Prices Weigh on Gold

Read also: Gold and Silver Prices Decline Amid Strengthening Dollar and Inflation Concerns

Persisting geopolitical risks, including the ongoing US-Iran conflict, and uncertainties over US tariff policies, capped losses for the precious metal. Brent Crude prices jumped 10% to trade above $100 per barrel, as fears of a prolonged US-Iran war overshadowed a coordinated release of oil reserves by major economies. The IEA agreed to its largest-ever release of 400 million barrels, but markets believe the move may be insufficient.

Forecasts and Outlook

Jigar Trivedi, Senior Research Analyst at IndusInd Securities, believes MCX gold April futures may drop to ₹1,60,500 as the yellow metal trades with a negative undertone. Manoj Kumar Jain of Prithvifinmart Commodity Research expects gold and silver prices to remain volatile this week, with support and resistance levels for gold at ₹1,59,800 and ₹1,62,700, respectively, and for silver at ₹2,65,500 and ₹2,71,000, respectively.