Gold Prices Rise Amid Geopolitical Tensions, MCX, and Over International Markets Surge: In early trading today, gold prices rose due to rising tensions around the globe, including the Russia-Ukraine and Israel-Hezbollah cease-fire violations. In the MCX, futures of gold for the December 2024 contract began trading higher at ₹ 76,334 per 10 grams but soon reached an intraday high of ₹ 76,504 per 10 grams.
However, international gold was also on the rise, which includes COMEX gold by more than 0.75 percent at $2,682 per ounce and spot gold hovering around $2669 per ounce. Unsurprisingly, the price increase has been blamed on the refreshed worries over sources of instability fueled by geopolitics. The fighting between Israel and Hezbollah has increased over alleged breaches of the truce, and the recent Russian bombardment of Ukraine complicates things for the market. It has made investors run to gold as the safest commodity to invest in.
Also Read: Japanese Banks Stand Firm with Adani Amid Scrutiny from Western Lenders
Gold Prices Rise Amid Geopolitical Tensions, MCX and Over International Markets Surge: Jateen Trivedi, VP of Research at LKP Securities, said that gold prices were volatile, beginning weakly but gaining support as tensions rose. Trivedi further indicated that immediate support of gold was at $2,625 with resistance areas in the $2,655-$2,665 range. The pattern suggests a breakout above these resistance levels could take prices towards the following mental figure of $2,690. On the other hand, if the price went lower than $2,620, it was expected that gold would cut down to $2,580.
Another Hindustan Times contributor, Anuj Gupta, who is Chart Master for MCX and Commodity and Currency Head at HDFC Securities, promoted a buy-on-dips approach as they predicted the range of MCX gold $2,630 to $2,680 per ounce and spot gold between ₹75,500 and ₹77,000. He pointed out that if a breakout above current resistance levels occurs, MCX gold can touch ₹77,700 per 10 grams and global spot gold $2,700 per ounce.
