New Delhi: Gold futures recovered slightly on Thursday after a sharp fall in the previous session, as bargain buying supported prices.
However, gains remained limited due to concerns over a strong US dollar and rising US interest rates.
Price Recovery
On the Multi Commodity Exchange (MCX), gold for August delivery rose Rs 405, or 0.29 percent, to Rs 1,41,675 per 10 grams.
Trading activity remained healthy, with a business turnover of 10,375 lots.
Despite this recovery, gold stayed near a six-month low after falling Rs 5,259, or 3.6 percent, in the previous session.
The metal had last traded near this level on December 16, 2025, at around Rs 1,41,600 per 10 grams.
Global Pressure
In overseas markets, gold remained under pressure.
Comex gold futures for August delivery fell $11.30, or 0.28%, to $3,997.50 per ounce.
This pushed gold below the key $4,000 per ounce level for the first time in more than eight months.
Analysts said the stronger US dollar reduced gold’s appeal, as bullion becomes more expensive for global buyers.
Key Trigger Ahead
Market experts said investors are now focused on the upcoming US Personal Consumption Expenditures (PCE) data.
This inflation data is closely watched because it influences the US Federal Reserve’s interest-rate decisions.
Higher interest rates usually hurt gold, as non-yielding assets become less attractive compared with fixed-income investments.
Market Outlook
Analysts believe central bank buying may support prices at lower levels.
Still, inflation concerns and monetary policy uncertainty may keep pressure on bullion in the near term.
Gold prices are expected to remain highly sensitive to US economic data and rate expectations.
