Gold slips on MCX as dollar strengthens; uptrend remains intact
Gold slips on MCX as dollar strengthens; uptrend remains intact
Gold futures ease on MCX amid firmer USD, with the long-run uptrend supported by central-bank buying and steady demand.
Gold prices on the Multi Commodity Exchange (MCX) staged a mild recovery but remained in negative territory, weighed down by a firmer US dollar and lingering trade uncertainty. As of 11:10 am IST on February 24, gold futures were down 0.64% at ₹1,60,565, with the April 2026 contract down ₹983 to ₹1,60,615 per 10 grams. Silver futures for March delivery slipped 0.3% to ₹2,64,327 per kilogram, after a 0.27% fall to ₹2,63,728 for silver.
In international markets, spot gold fell 1.5% to $5,150.38 per ounce as of 0125 GMT, after earlier touching its highest level in more than three weeks. Spot silver retreated 3.1% to $85.50 per ounce, following a rally that had pushed it to a two-week high in the previous session. The US dollar’s strength and ongoing global trade uncertainties have kept bullion traders cautious, even as gold is still seen by many as a safe-haven asset during macroeconomic and geopolitical stress.
Market observers noted that prices are hovering in a zone that traders have been watching. Ponmudi R, CEO of Enrich Money, described COMEX gold as trading within a broad $5,100–$5,300 range after a period of consolidation, suggesting the uptrend could remain constructive if macro signals improve. Traders are keeping an eye on policy cues and potential tariff developments that could influence the dollar and bullion flows.
On the domestic front, Finance Minister Nirmala Sitharaman pointed to India’s reliance on imported gold and the ongoing role of central banks in increasing gold reserves globally. While the government and RBI monitor price movements, she stressed that the situation has not yet reached alarming levels. The sustained demand for gold—as an asset class and a cultural staple in Indian households—continues to underpin the metal’s longer-term upward trajectory, even as near-term volatility persists due to dollar strength and policy uncertainty.
Overall, bullion markets remain finely balanced between dollar-driven pressure and the enduring appeal of gold as a hedging asset. If dollar weakness returns or trade tensions ease, bulls could regain momentum; for now, cautious positioning and close watching of policy signals are likely to define the near-term path.
