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Informist, Thursday, Jun. 4, 2026

 

By Ashutosh Pati

 

MUMBAI – Futures contracts of gold and silver rose on the Multi Commodity Exchange of India Thursday, tracking a rise in contracts on COMEX due to a sharp fall in the dollar. Market sentiment was also lifted by hopes of a resolution to the conflict in West Asia, which helped lower crude oil prices and eased concern about higher inflation.

 

At 1813 IST, the most active August contract of GOLD was up 1% at INR 160,022 per 10 grams on the MCX. The same-month contract on COMEX was up 1.3% at $4,525.80 per ounce. The most active July SILVER contract on the MCX was up 1.2% at INR 266,111 per kilogram. The same-month contract on COMEX was up 1.2% at $74.62 per ounce.

 

Israel and Lebanon have agreed to implement a ceasefire to end hostilities. Moreover, Al-Arabiya reported that the US and Iran were close to a peace deal, with the only sticking point being the sanctions on frozen Iranian assets abroad. "Going forward, bullion faces competing forces. Progress toward a wider regional peace deal and easing energy prices could support gold and silver through lower yields and a softer dollar," 

Kotak Securities said in a report.

 

However, persistent inflation risks and rising expectations of monetary policy tightening by the US Federal Reserve remain significant headwinds for gold. "Despite improving geopolitical sentiment, the prolonged disruption to energy supplies has kept crude oil prices elevated, sustaining inflation concerns and reinforcing expectations that major central banks may maintain higher interest rates for longer," the brokerage said.

 

At 1826 IST, the dollar index, which measures the strength of the greenback against a basket of six major currencies, was down 0.3% from Wednesday at 99.23. A weak greenback makes dollar-priced commodities, such as gold and silver, more appealing to holders of other currencies, aiding demand.

 

Market participants will be closely watching speeches by Fed members later in the day. They will get further cues about the central bank's policy outlook from the US non-farm employment data due Friday.

 

Outlook for the rest of the session:

--MCX gold seen at INR 158,000–INR 161,000 per 10 grams

--COMEX gold seen at $4,470–$4,540 an ounce

--MCX silver seen at INR 261,000-INR 267,500 per kg

--COMEX silver seen at $71.00-$77.00 an ounce

 

End

 

US$1 = INR 95.78

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

 

Edited by Rajeev Pai

 

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