Gold prices in India traded lower on the Multi Commodity Exchange (MCX) Wednesday as the international spot prices weakened amid a rise in the US treasury yields and a firm dollar, analysts said.

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At 11:00 am, gold futures for June delivery fell 0.20 percent to Rs 47,536 per 10 grams as against the previous close of Rs 47,633 and the opening price of Rs 47,497 on the MCX. Silver futures traded 0.62 percent lower at Rs 71,486 per kg. The prices opened at Rs 71,805 as compared to the previous close of Rs 71,929 per kg.

“Gold witnessed profit-booking at higher levels, while gains in the US 10-year bond yields further pressurized the yellow metal prices. Gold is expected to trade sideways ahead of the important US inflation data,” said Ajay Kedia, Director, Kedia Advisory.

International gold prices fell on Wednesday, weighed down by higher US Treasury yields and a slight rebound in the dollar ahead of the much-awaited US consumer price data due later in the day, a Reuters report said.

Spot gold was down 0.6 perent at $1,826.89 per ounce. US gold futures eased 0.5 percent to $1,826.20.

The dollar index was up 0.3 percent, making gold less appealing for other currency holders.

Benchmark US 10-year Treasury yields scaled a more than one-week peak, increasing the opportunity cost of holding gold.

“A selloff in the global equity market and concerns over rising coronavirus cases supported gold above its key support of $1,800. Hence, buying gold on dips is suggested,” said Kedia.

Meanwhile, weakness in the Indian rupee amid selling in the domestic equity market limited losses in precious metals. The local currency opened lower by 15 paise at 73.49 per dollar against the previous close of 73.34.

“On MCX, support for gold is seen at Rs 47,250 and resistance is placed at Rs 47,900. Silver may find support at Rs 70,800 and resistance at Rs 72,600,” Kedia added.

Here are gold rates across major cities:

Here are silver rates across major cities:

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