More Stories

Informist, Wednesday, Dec. 17, 2025

 

By Reshma Ravi

 

MUMBAI – Futures contracts of gold fell on the Multi Commodity Exchange of India on Wednesday due to a rise in the rupee against the dollar. However, gold contracts on the COMEX rose due to rising safe-haven demand amid geopolitical tensions.   

 

At 1607 IST, the most-active February GOLD contract on the MCX was down 0.2% at INR 134,057 per 10 grams. The most-active February contract on the COMEX was up 0.4% at $4,349.6 per ounce. Meanwhile, Mumbai spot gold of 99.9% purity edged higher to INR 132,531–INR 132,631 per 10 grams on Wednesday, from INR 131,878–INR 132,029 per 10 grams on Tuesday.

 

The rupee surged against the dollar on Wednesday after falling for five consecutive sessions. The rupee rose to a high of 90.0100 against the dollar in the early hours of trade before falling slightly and ending the session at 90.3800 per dollar, up from 91.0275 Tuesday. When the rupee moves against the dollar, gold prices in the domestic market adjust as the precious metal is priced in rupees.

 

Gold prices rose on the COMEX due to rising safe-haven demand amid geopolitical tensions. On Tuesday, US President Donald Trump ordered a total and complete blockade of all sanctioned oil tankers entering and leaving Venezuela. Trump's latest comments came after the US seized a sanctioned oil tanker off Venezuela's coast a week earlier, aiming to target the country's primary source of income and increase pressure on the government. "Prices would also get support amid safe haven buying due to escalating tension between the US and Venezuela," ICICI Direct said in a report.   

 

On Tuesday, the US Labor Department's unemployment rate rose to an over four-year peak of 4.6% in November, higher than the 4.4% expected in a Reuters survey. Gold prices also rose due to weak labour data, which reinforced expectations of US Federal Reserve rate cuts in 2026, Manoj Jain, director at Prithvi Finmart, said. Investors are pricing in two rate cuts next year, following the Fed's 25-basis-point rate cut last week. Typically, a lower-interest-rate environment boosts the appeal of non-yielding precious metals.

 

SILVER contracts on the MCX and COMEX hit a record high as weak US job data reinforced expectations of up to two interest rate cuts in 2026. Strong industrial demand for the white metal from renewables, grid infrastructure, and artificial intelligence-linked technologies also supported the prices.  

 

At 1622 IST, the most-active March silver contract on the MCX was up 4% at INR 204,822 per kg, after touching a record high of INR 206,111 per kg. The most-active March contract on COMEX was up 4% at $66.00 per ounce, after touching a record high of $66.65 per ounce.

 

Outlook for the rest of the session:

--MCX gold seen at INR 132,000–INR 136,000 per 10 grams

--COMEX gold seen at $4,300.0–$4,380.0 an ounce

--MCX silver seen at INR 200,000-INR 207,000 per kg

--COMEX silver seen at $65.20-$66.20 an ounce

End

 

US$1 = INR 90.38

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

 

Edited by Saji George Titus

 

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.