On the first trading day of the week, gold and silver prices have once again registered a strong rise on the domestic futures market (MCX). Due to the weakness in the US dollar and the ongoing geopolitical tension at the international level, the price of precious metals has once again become hot. During early trading on Multi Commodity Exchange, gold has crossed the mark of ₹ 1.55 lakh per 10 grams and silver has crossed the mark of ₹ 2.37 lakh per kg. Amidst the fluctuations in the global market and the US-Iran tension, investors in the bullion market are constantly keeping an eye on new data. Latest prices of gold and silver on MCX: As soon as the trading started on Monday morning session on Multi Commodity Exchange (MCX), a phase of buying in precious metals was seen. As of 9:15 am, gold with October expiry was trading at Rs 1,55,079 per 10 grams with a rise of 0.37 per cent. On the other hand, September futures silver registered even more strength and reached Rs 2,37,678 per kg with a gain of 0.74 percent. A rise of about one percent has been recorded in both the precious metals in early trade. The weakness of the dollar and the impact of the Federal Reserve's policies are mainly behind the rise in gold and silver prices due to the weakening of the US dollar and expectations of interest rate cuts by the US Federal Reserve. Generally, when the dollar weakens, the demand for gold in the global market increases. However, the market's eyes are now on the upcoming US economic data. The main 'PCE Price Index' report measuring inflation of the Federal Reserve is to be released on August 26, which will play an important role in deciding the direction of interest rates. Apart from this, month-on-month and annual CPI figures for July are also influencing the market movements. Crude oil and US-Iran tension become a challenge. While on one hand the weakness of the dollar is supporting gold, on the other hand the rising prices of crude oil have increased the concern of investors. In the international market, Brent crude has reached around $ 90 per barrel with an increase of about 1 percent. Expensive crude oil poses a risk of global inflation, which may make it difficult for the Federal Reserve to cut interest rates. Apart from this, the ongoing tension between the US and Iran regarding the Strait of Hormuz has also increased the uncertainty. The statements made by Iranian officials regarding control and supply of this sea route have intensified the movement in both the oil and bullion markets.
