MCX October gold at ₹146,000 dips on US Fed outlook
Gold prices just hit a near seven-week low, with MCX October contracts at ₹146,000 per 10gm, a 0.21% drop.
The main reason? Investors are worried the US Federal Reserve might keep interest rates high for longer, with CME FedWatch showing a 72.5% chance of an October rate hike, according to Prithviraj Kothari, Managing Director, RiddiSiddhi Bullions and President, India Bullion and Jewellers Association.
Dollar, yields and oil pressure gold
A stronger US dollar, rising Treasury yields, and high crude oil prices are making things tough for gold right now.
Even with some global recovery signs (spot gold is around $4,130 per ounce), analysts say everyone's watching US economic data for clues about future Fed moves.
Still, long-term demand looks solid thanks to central bank buying and steady global interest in gold.