According to the latest news, on December 11, gold and silver prices increased in Indian markets amid a muted global trend. On Multi Commodity Exchange, February gold futures rose by 0.15% and settled at Rs 49,149 per 10 grams. In contrast, it saw a decline in the previous two sessions. Meanwhile, silver prices fell by 0.11% and touched Rs 63,560 per kg.
Significantly, in the previous session, the yellow metal had dropped by 0.3% while the white metal had boosted 0.12%.
The precious metal price increased in global markets as higher as muted U.S. jobs data spurred concerns about a fast economic rebound. Spot gold rose by 0.1% and settled at $1,836.54 per ounce. Silver dropped by 0.1% and touched $23.94 an ounce.
Additionally, the platinum advanced by 0.2% and hit $1,028.71 and palladium boosted 0.1% and touched $2,334.03.
The price of 10 gram 22-carat gold in Mumbai was Rs 45,059, while 24-carat 10 gram stood at Rs 49,191. Significantly, the 18-carat gold stood at Rs 36,893 plus GST in the retail market.
Gold-backed exchange-traded funds decreased in November. It ended a year-long buying spree that has supported bullion prices hit a record high. ETFs witnessed a decrease of 107 tonnes in November, which is its second-biggest monthly outflow.
Furthermore, the gold/silver ratio currently is 78.57 to 1. It indicates the amount of silver needed to buy one ounce of gold.
However, the yellow metal’s prices were capped after a U.S. government advisory panel endorsed Pfizer’s coronavirus vaccine’s widespread use on December 10. Vaccinations could begin within the day, and it depends on how quickly the Food and Drug Administration signs off.
A weaker greenback helped gold
Furthermore, according to Thursday’s data, U.S. weekly jobless claims increased to a nearly three-month high amid increasing coronavirus cases and lack of further fiscal stimulus. The yellow metal is a hedge against political and economic uncertainty.
Another critical thing to mention is that a weaker greenback also helped gold. Investors weighted fading prospects for a stimulus deal in Washington against the disappointing U.S. jobs data. Hence, the U.S. dollar came back under pressure today.
A significant problem for investors is U.S. lawmakers’ inability to agree on a further stimulus, and both sides are still accusing each other.
On Thursday, the European Central Bank ratcheted up its efforts to protect the region from a possible double-dip recession with another round of monetary stimulus.
