Gold and silver prices rally on Monday after Diwali
International gold prices climbed above $4,100 per ounce as softer crude oil prices and central bank buying supported the recovery.
Gold and silver prices saw a strong rally on Monday, November 9, according to Business Today. International gold rose 1.6 per cent to $4,129.69 per ounce, while US gold futures for December delivery increased 1.6 per cent to $4,139 per ounce.
Silver prices advanced more than 2 per cent to trade at approximately $53.07 per ounce. On the Multi Commodity Exchange (MCX), gold was trading at ₹1,43,750 per 10 grams, up 0.84 per cent, and silver rose 1.62 per cent to ₹1,88,102 per kg.
The recovery was supported by lower crude oil prices, easing inflation concerns, and ongoing central bank purchases. Oil prices fell after US President Donald Trump suggested that further attacks on Iran were unlikely while diplomatic efforts continued.
Amit Gupta, Senior Research Head at Kedia Advisory, said gold prices gained because lower oil prices reduced inflation fears. However, Gupta noted that strong October US employment data, with unemployment at 4.1 per cent, reinforced expectations of a December rate hike.
Gupta stated that China's central bank has continued buying gold for 24 consecutive months, bringing its holdings to 78.3 million ounces. He projected international gold could test $4,160–$4,220 if it stays above $4,080, while MCX gold could reach ₹1,44,500–₹1,46,000.
For silver, Gupta suggested that staying above $50 could lead to international prices of $55–$58, with MCX silver targeting ₹1,90,000–₹1,94,000 per kg. Investors are expected to monitor upcoming US inflation data and Federal Reserve signals.
