Domestic spot gold with a purity of 24 carats opened at Rs 50,868 per 10 grams.Gold Price In India: Gold and silver futures traded lower on Friday, February 25, taking cues from the international spot rates. On the Multi Commodity Exchange (MCX), gold futures, due for an April 5 delivery, were last seen 1.03 per cent down at Rs 51,011, compared to the previous close of Rs 51,543. Silver futures, due for a March 4 delivery, were last seen 1.68 per cent lower at Rs 64,921 against the previous close of Rs 66,031.Domestic spot gold with a purity of 24 carats opened at Rs 50,868 per 10 grams on Friday, and silver at Rs 65,165 per kilogram – both rates excluding GST (goods and services tax), according to Mumbai-based industry body India Bullion and Jewellers Association (IBJA).Foreign Exchange Rates:Globally, gold prices rose as investors reassessed the situation surrounding Russia’s invasion of Ukraine and fresh sanctions against Moscow from the West. Spot gold rose 0.3 per cent to $1,909.06 per ounce. The yellow metal had jumped 3 per cent in the previous session to hit its highest level since September 2020 at $1,973.96, before reversing course to close lower.Bullion is considered a hedge against inflation and geopolitical risks. Higher yields and interest rate hikes dent the appeal of bullion by raising the opportunity cost of holding non-interest paying gold.Analyst View:Ravindra Rao, CMT, EPAT, VP – Head Commodity Research at Kotak Securities: “Gold has come off the highs as risk sentiment stabilized as market players assessed the impact of sanctions by the U.S. and other western countries in response to Russia’s attack on Ukraine. Retreat in crude oil and other commodity prices from recent highs also eased gold’s appeal as an inflation hedge. However, with the prospect of increased tensions between Russia and world leaders, risk sentiment may remain weak and this may keep gold supported.”
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