Gold prices edged higher on Monday as a weaker U.S. dollar and steady physical demand supported sentiment in the bullion market. On the Multi Commodity Exchange (MCX), December gold futures rose 0.39% to ₹1,21,708 per 10 grams, while silver futures gained 0.69% to ₹1,49,307 per kilogram.
Analysts said a softer dollar made gold more attractive to buyers holding other currencies, while stable domestic spot demand provided additional support. However, recent comments from U.S. Federal Reserve officials hinting at a cautious stance on rate cuts have capped major gains, prompting some profit booking in global markets.
Market experts see key support for gold at ₹1,20,600 and ₹1,19,800, with resistance levels at ₹1,22,000 and ₹1,22,700. For silver, support lies at ₹1,47,000 and ₹1,45,500, while resistance is expected near ₹1,50,000 and ₹1,51,500.
Traders said gold may remain range-bound in the short term as investors await further economic cues from the US and upcoming inflation data. Despite near-term volatility, the underlying sentiment remains positive due to geopolitical risks and sustained central bank buying, keeping gold an attractive hedge for institutional and retail investors alike.
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