Gold prices in India traded higher on the Multi Commodity Exchange (MCX) Thursday following gains in the international spot prices after falling to more than two months low level in the previous session. Silver prices also gained on improved industrial demand.

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At 11:20 am, gold futures for April delivery rose 0.35 percent to Rs 46,400 per 10 grams as against the previous close of Rs 46,237 and opening price of Rs 46,409 on the MCX. Silver futures traded 0.12 percent higher at Rs 69,313 per kg. The prices opened at Rs 69,400 as compared to the previous close of Rs 69,231 per kg.

“After a recent fall, the gold and silver prices stabilized as the US Treasury yields fell. Comments from the US Federal Reserve officials supported gold prices. Silver gained on the back of improved industrial demand and surge in base metal prices,” said Ajay Kedia, director, Kedia Commodity Comtrade.

According to Kedia, the precious metal prices are expected to remain rangebound and the trend will remain sideways to positive and focus will be o the developments of a $1.9 trillion US coronavirus relief plan and economic data to be released later today.

Meanwhile, US Federal Reserve officials were still prepared to keep their easy monetary policy on track to help heal the economy ailing from the impact of the coronavirus pandemic, minutes of the US central bank’s January policy meeting showed, a Reuters report said.

International gold prices on Thursday clawed back from a 2-1/2-month low marked in the previous session, as US Treasury yields retreated, lifting the non-yielding bullion's appeal, Reuters reported.

Spot gold was up 0.4 percent at $1,782.64 per ounce, having dropped to its lowest since November 30 at $1,768.60 on Wednesday. US gold futures gained 0.6 percent to $1,783.10.

Benchmark 10-year Treasury yields retreated from a near one-year peak hit on Wednesday. Lower yields reduce the opportunity cost of holding bullion, which pays no interest.

Experts are of the view that the trend in gold prices below $1,800 remains weak.

“On MCX, support for gold is seen at Rs 46,000 level, while resistance is placed at Rs 46,850 level. Silver may find support at Rs 68,200 level and resistance at Rs 70,800 level,” Kedia said.

Here are gold rates across major cities:

Source: Kedia Stocks & Commodities Research

Here are silver rates across major cities:

Source: Kedia Stocks & Commodities Research

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