More Stories

Informist, Tuesday, Apr. 22, 2025

By Sandeep Sinha

MUMBAI – Futures contracts of gold rose on the Multi Commodity Exchange of India and the COMEX on increased safe-haven demand as investors continue to grapple with global uncertainty. The yellow metal also benefited from inflows in gold exchange-traded funds.

On Monday, gold holdings with the SPDR Gold Trust, the world's largest gold-backed ETF, rose by 6.88 tonnes to 959.17 tonnes. The fund has a market value of $101.92 billion. On the National Stock Exchange, the total value of gold ETFs traded on Tuesday was INR 5.47 billion.

"Gold prices traded with high volatility after a major gap-up opening above INR 99,000 on MCX, oscillating in a broad range between INR 99,000 and INR 98,150 through the session. The rally continues to be fuelled by the Federal Reserve's reluctance to cut interest rates immediately, despite growing pressure from former President Trump, who has been vocal about urging rate cuts," Jateen Trivedi, vice-president and research analyst at LKP Securities, said in a note.

"This divergence has further enhanced gold's appeal as a safe haven, pushing prices to fresh lifetime highs in both Comex and MCX," Trivedi said.

At 1910 IST, the most active June GOLD contract on the MCX was up 0.5% at INR 97,728 per 10 grams, after touching a lifetime high of INR 99,358 per 10 grams earlier Tuesday. The most active June gold contract on the COMEX was up 0.1% at $3,431.40 per ounce. The contract hit a fresh all-time high of $3,509.90 per ounce during the day.

The highest call open interest on gold was at the INR 100,000 strike, indicating a bullish view. The highest put open interest was at the INR 95,000-INR 94,000 strikes for the Apr. 30 contract.

However, the yellow metal came off from the day's high due to the recovery in the dollar, which makes dollar-denominated commodities expensive for those holding other currencies. At 1912 IST, the dollar index, which measures the strength of the greenback against a basket of major currencies, was up 0.3% at 98.60.

Investors will take cues from a speech by Federal Open Market Committee member Neel Kashkari later Tuesday.

SILVER contracts traded higher, taking cues from COMEX, and tracking the firm trends in gold and industrial metals. At 1912 IST, the most active May contract on the MCX was up 0.1% at INR 95,380 per kg. The same-month contract on the COMEX was 0.2% higher at $32.60 per ounce. On the options front, the highest call open interest was at the INR 100,000 strike price. The highest put open interest was at the INR 95,000 strike for the Apr. 24 expiry contract.

The MCX Bulldex, an index that tracks the real-time performance of gold and silver futures on the MCX, was up 157 points at 22411. The June and August gold contracts on the MCX recorded turnovers of INR 147.08 billion and INR 13.78 billion, respectively. The May and July silver contracts saw turnovers of INR 30.87 billion and INR 12.69 billion, respectively.

Outlook for the rest of the session:

--MCX gold seen at INR 97,388–INR 99,220 per 10 gm

--COMEX gold seen at $3,371.97–$3,505.43 an ounce

--MCX silver seen at INR 94,329-INR 95,915 per kg

--COMEX silver seen at $32.31-$33.03 an ounce

End

US$1 = INR 85.19

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT

Edited by Deepshikha Bhardwaj

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

© Informist Media Pvt. Ltd. 2025. All rights reserved.