Gold Prices Rise To New Highs Ahead Of Budget; Trading In Gold, Silver At MCX To Be Open On February 1

Gold Prices In India have touched a new all-time high with MCX Gold hitting its highest level of Rs 82,415 per 10 grams for the first time on Friday, January 31. This comes ahead of Union Budget 2025 announcement on February 1. Notably, MCX has announced a special live trading session on Saturday due to the Budget. Hence, investors can further trade in gold and silver futures alongside other commodities on Saturday.

Gold Prices In India:

Massive surge was recorded across gold carats. 24K gold price skyrocketed by Rs 13,100 in 100 grams to Rs 8,43,300, while 10 grams gold surged by Rs 1,310 to Rs 84,330. The prices are at fresh all-time high.

Meanwhile, 22K gold price zoomed by Rs 12,000 to Rs 7,73,000 in 100 grams, and higher by Rs 1,200 in 10 grams to Rs 77,300.

Further, 18K gold price were at Rs 6,32,500 in 100 grams, higher by Rs 9,800. Also, 10 grams of 18k advanced by Rs 980 to Rs 63, 250.

Silver Prices In India:

Silver prices also jumped by Rs 1,000 to Rs 99,500 per 1kg, while in cities like Chennai, Hyderabad and Kerala, the prices shot up to new high of Rs 1,07,000 per 1kg.

Both gold and silver prices give more than 8.1% returns each in January 2025 so far ahead of Budget.

MCX Gold, Silver Prices:

MCX gold price, with April 2025 expiry, climbed to hit a new all-time high of Ras 82,415 per 10 grams. The price currently was at Rs 82,306 per 10 grams, up by Rs 262 or 0.32%.

Furthermore, MCX silver price with March 2025 expiry, surged to cross the Rs 94,000 mark by touching an intraday high of Rs 94,021 per 1kg. MCX silver price is currently at Rs 93,719 per 1kg, higher by Rs 273 or 0.29%.

What Is Impacting Gold Prices On Friday?

Deveya Gaglani, Senior Research Analyst-Commodities, Axis Securities said, "MCX Gold touched a record high of Rs 82100 per 10 gm after Trump said on Thursday that the United States would impose a 25% tariff on exports from Mexico and Canada, which increased uncertainty in the market as his plan stoked fears of trade wars and prospects of an economic slowdown. Additionally, the Advance GDP q/q came in at 2.3% against the forecast of 2.7%, which increased the probability of a rate cut in the next meeting, causing investors to flock towards the safe-haven asset. Looser monetary policies from major central banks further supported gold's momentum."

Gaglani added, "The ECB cut rates as expected, leaving room for more reductions, while the BoC ended its quantitative tightening, and the Swedish Riksbank delivered rate cuts earlier in the week. The PBoC and RBI also signalled looser policies and higher liquidity. Gold is on track for its biggest gain since March 2024 for the month. In the MCX and Comex, prices are up by more than 6%, respectively."

Gold Prices Outlook:

Rahul Kalantri, VP of Commodities, Mehta Equities said, safe-heaven demand as well as chart-based buying, support both precious metals. Yesterday, the European Central Bank lowered its interest rates, by 0.25%, for a fifth straight meeting putting pressure on the dollar index. Gold prices were boosted by a fresh drop in US Treasury bond yields and growing concerns about potential economic risks from former US President Donald Trump's tariff proposals. Gold has support at $2777-2762 while resistance is at $2812-2822. Silver has support at $31.15-30.95 while resistance is at $31.65-31.80. In INR gold has support at Rs 81.550-81,380, while resistance at Rs 82,070-82,350. Silver has support at Rs 92,770-92,050 while resistance at Rs 93,980-94,570.

Special Live Trading Session On Saturday:

MCX announced that it shall be conducting a special live trading session on Saturday, February 1, 2025, to make available the trading platform for market participants on account of the presentation of the Union Budget, supporting their real-time risk management and hedging requirements.

"The exchange will remain open for normal trade from 9.00 a.m. to 5.00 p.m," MCX said.

Having commenced operations on November 10, 2003, MCX is India's leading commodity derivatives exchange with a market share of about 98 per cent in terms of the value of commodity futures contracts traded in the financial year 202425 (April 2024 - December 2024).