Silver Gains on MCX While Gold Trades Lower, Fed Watch Intensifies

Mumbai, 28 August – While gold futures continued their descent on the MCX, silver prices recorded a noticeable rally on the same day. The September‑delivery silver contract rose 1.16% to ₹2,43,447 per kilogram, after opening at ₹2,39,049 – a modest 0.66% decline from the prior close – and later surged to a session high of ₹2,43,700, up 1.26% intraday. Gold, however, opened at ₹1,58,569 per 10 grams, down ₹427 (0.26%) from the previous close, and fell to a low of ₹1,57,842, marking a cumulative 0.72% drop for the session. Over four consecutive trading days the MCX gold price has slipped by ₹5,845, equivalent to a 2.37% decline. Internationally, spot gold eased 0.5% to $4,576.30 per ounce and U.S. gold futures slipped 0.8% to $4,629. Market participants are keenly awaiting the outcome of Fed Chair Kevin Warsh’s speech at the Jackson Hole symposium, expecting clues on the future path of U.S. interest rates, a key driver of gold demand. Technical analysis places immediate resistance for gold between ₹1,59,500‑₹1,60,000, with a higher band at ₹1,62,000‑₹1,62,500. Support levels are identified around ₹1,57,600‑₹1,57,000, and a stronger floor near ₹1,55,500‑₹1,55,000. The RSI sits at 60.93, still in positive territory but descending from over‑bought levels, indicating a potential slowdown in the rally. Overall, profit‑taking after the early‑week surge and uncertainty surrounding U.S. monetary policy are tempering gold’s upward momentum, while silver benefits from a weaker dollar and continued demand for industrial exposure.