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Gold and Silver Surge 2% Amid Fed Rate Cut Hopes and US Economic Fears

Gold and silver prices climbed significantly on Monday, driven by positive global market signals. The rally was fueled by growing concerns about the US economy and speculation about potential interest rate cuts. Weak consumer sentiment and the prolonged US government shutdown have increased safe-haven demand for precious metals. Both domestic and international markets showed strong gains, with experts noting key support and resistance levels for continued trading.

Key Points: Gold Silver Prices Rise on Fed Rate Cut Speculation US Economy

  • Gold December contract rose 1.16% to Rs 1,22,468 per 10 grams on MCX
  • Silver surged 1.99% to Rs 1,50,666 per kg amid positive global cues
  • Weak US consumer sentiment and government shutdown boosted safe-haven demand
  • International gold hit $4,062 per ounce while silver reached $49.26 on Comex
2 min read

Gold and silver prices up by 2 pc over positive global cues

Gold and silver prices jump over 2% as weak US economic data and potential Fed rate cuts boost safe-haven demand. Get the latest MCX and Comex prices.

"The shutdown has entered a record duration, increasing concerns about the broader U.S. economic outlook, prompting renewed safe-haven demand - Rahul Kalantri, Mehta Equities"

New Delhi, Nov 10

Gold and silver prices went up on Monday, driven by positive global cues and the possibility of the US Fed lowering interest rates next month.

At around 10 a.m. on the Multi Commodity Exchange (MCX), the price of the December 5, 2025 contract for gold rose 1.16 per cent to Rs 1,22,468 per 10 grams, and the price of the December 5, 2025 contract for silver rose 1.99 per cent to Rs 1,50,666 per kg.

Gold prices fell after reaching a record high in October. However, the fresh momentum in the yellow metal is being driven by growing concerns about the health of the US economy and the possibility of an interest rate cut next month.

According to Rahul Kalantri, Vice President of Commodities at Mehta Equities, prices were highly volatile throughout the week but managed to recover from lower levels after weak US consumer sentiment figures and uncertainty over when the US government shutdown will end.

The shutdown has entered a record duration, increasing concerns about the broader U.S. economic outlook, prompting renewed safe-haven demand, he mentioned.

Gold and silver also saw gains in the international markets. Gold was up 1.32 per cent at $4,062 per ounce on Comex, and silver up 2.32 percent at $49.26 per ounce.

Market watchers further stated that the dollar index softened as well, lending additional support to bullion prices. Gold has support at $3,955-3,920 while resistance at $4,040-4,065. Silver has support at $47.80-47.45 while resistance is at $48.55-48.85.

In Indian rupee, gold has support at Rs 1,20,450-1,19,880 while resistance at Rs 1,21,790-1,22,400. Silver has support at Rs 1,46,850-1,45,900 while resistance at Rs 1,48,840, 1,49,780.

Additionally, WTI crude regained momentum on Monday, rising past $60 per barrel as traders awaited fresh insight from OPEC and the IEA.

However, the broader picture remains mixed: OPEC+ (a coalition of 22 oil-exporting countries) is easing production limits, US producers are ramping up output and expectations of a looming supply surplus continue to weigh on confidence.

- IANS

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Reader Comments

R
Rohit P
Smart move by investors who bought gold during the dip last month! Gold has always been the safest investment in India, especially with all this global uncertainty. 🚀
A
Aditya G
While the article focuses on global factors, I wish it had more analysis on how this affects the common Indian investor. Most of us buy gold for emotional reasons rather than as a pure investment.
S
Shreya B
My mother's gold savings have gained so much value! This is why Indian families always prefer gold over other assets. It's not just about returns, it's about security and tradition. 🙏
M
Michael C
Interesting to see how interconnected global markets are. US economic concerns directly impacting gold prices in India. Shows we're truly in a global economy now.
K
Karthik V
Silver at ₹1.5 lakh per kg! This is getting too expensive for small industries and artisans who depend on silver for their craft. Hope the government considers some relief measures.

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