Gold prices were flat on Friday, June 2. On the Multi Commodity Exchange (MCX), gold futures were trading at Rs 60,268 per 10 gram. Globally, spot gold held steady at $1,979.24 per ounce by 0457 GMT. US gold futures were little changed at $1,996.60. Experts say that gold is set for their biggest weekly gain in nearly two months, as a softer dollar and hopes for a pause in the Federal Reserve's tightening campaign bolstered bullion's appeal.
Bullion has gained 1.7 percent so far in the week, heading for its best week since the week ended April 7, according to news agency Reuters.
Current gold market sentiment remains constructive, and prices could move a little higher from here as the Fed is expected to stay on hold in June, Edward Meir, a metals analyst at Marex was quoted as saying in Reuters report.
Philadelphia Fed President Patrick Harker said on Thursday US central bankers should not raise interest rates at their next meeting, even though high inflation is coming down at a "disappointingly slow" pace.
Markets now see a 73.7 percent chance of rates remaining unchanged in June. Gold, which does not yield any interest of its own, loses appeal when interest rates rise. The dollar index dipped to a one week-low, making gold less expensive for buyers holding other currencies.
Experts say that immediate resistance for gold is placed at Rs 60,500 per 10 gram while support is seen at Rs 59600 per 10 gram.
Experts further say that the yellow metal is considered a store of value and a hedge against inflation, so its value can fluctuate depending on a variety of economic and political factors. For diversification purposes, one can still invest in gold. The long-standing rule now should be to keep gold at 5 percent to 10 percent in an investment portfolio.
Bullion has gained 1.7 percent so far in the week, heading for its best week since the week ended April 7, according to news agency Reuters.
Current gold market sentiment remains constructive, and prices could move a little higher from here as the Fed is expected to stay on hold in June, Edward Meir, a metals analyst at Marex was quoted as saying in Reuters report.
Philadelphia Fed President Patrick Harker said on Thursday US central bankers should not raise interest rates at their next meeting, even though high inflation is coming down at a "disappointingly slow" pace.
Markets now see a 73.7 percent chance of rates remaining unchanged in June. Gold, which does not yield any interest of its own, loses appeal when interest rates rise. The dollar index dipped to a one week-low, making gold less expensive for buyers holding other currencies.
Experts say that immediate resistance for gold is placed at Rs 60,500 per 10 gram while support is seen at Rs 59600 per 10 gram.
Experts further say that the yellow metal is considered a store of value and a hedge against inflation, so its value can fluctuate depending on a variety of economic and political factors. For diversification purposes, one can still invest in gold. The long-standing rule now should be to keep gold at 5 percent to 10 percent in an investment portfolio.
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!
