Gold prices in India traded lower on the Multi Commodity Exchange (MCX) Tuesday amid weakness in the international spot prices as the US bond yields recovered, analysts said.

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At 10:20 am, gold futures for June delivery eased 0.11 percent to Rs 47,339 per 10 grams as against the previous close of Rs 47,393 and opening price of Rs 47,424 on the MCX. Silver futures traded 0.46 percent higher at Rs 68,639 per kg. The prices opened at Rs 68,476 as compared to the previous close of Rs 68,324 per kg.

“Gold prices eased after a rebound in the 10-year benchmark bond yield in the United States. However, weak US dollar index and geopolitical factors are supporting the precious metal prices,” said Amit Sajeja, Vice President – Research, Commodities & Currencies, ‎Motilal Oswal.

International gold prices slipped on Tuesday after hitting a seven-week high in the previous session, as a rise in US Treasury yields eclipsed support from a weaker dollar, said a Reuters report.

Spot gold was down 0.2 percent to $1,766.32 per ounce, after hitting its highest since February 25 at $1,789.77 on Monday. US gold futures eased 0.3 percent to $1,766.10 per ounce.

The dollar index fell to a more than six-week low against its rivals, making gold less expensive for holders of other currencies.

“The dollar resumed its decline which will support the bullion going ahead. Global factors such as relations between the US and Russia have increased risk-premium for gold. Hence, buying gold at a drop in prices is advised,” Sajeja said.

“On MCX, support for gold is seen at Rs 47,000 and resistance at Rs 47,600 – 47,900 levels. Silver may find support at Rs 67,500 and resistance at Rs 69,500,” he added.

Meanwhile, the Indian rupee opened higher by 22 paise at 74.65 per dollar on Tuesday against the previous close of 74.87, amid buying in the domestic equity market.

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