<p>New Delhi: <a href="https://www.deccanherald.com/tags/gold">Gold</a> futures edged lower by Rs 38 to Rs 1.61 lakh per 10 grams on Thursday as surging oil prices heightened inflationary risks and reduced the likelihood of interest rate cuts by the US Federal Reserve.</p>.<p>According to the Multi Commodity Exchange (MCX), the yellow metal for April delivery depreciated by Rs 38, or 0.02 per cent, to Rs 1,61,751 per 10 grams in a business turnover of 1,067 lots.</p>.<p>"Gold fell as surging oil prices heightened inflationary risks and reduced the likelihood of central bank interest rate cuts," Jigar Trivedi, Senior Research Analyst at IndusInd Securities, said.</p>.<p>He noted that oil prices climbed for the second straight day as the prospect of a protracted Iran war overshadowed a coordinated release of oil reserves by major economies.</p>.Gold declines Rs 853 to Rs 1.62 lakh/10g amid global bearish sentiment.<p>Meanwhile, the yellow metal futures also slipped in the overseas trade. On the Comex, gold for April delivery fell USD 6.17, or 0.12 per cent, to <a href="https://www.deccanherald.com/tags/us-dollar">USD</a> 5,170.29 per ounce.</p>.<p>The US dollar index, which gauges the greenback's strength against a basket of six currencies, was trading 0.18 per cent higher at 99.41, weighing on bullion prices.</p>.<p>Gold faced downward pressure as the dollar strengthened and US Treasury yields surged, reducing the appeal of non-yielding assets such as bullion less attractive, Renisha Chainani, Head of Research at Augmont, said.</p>.<p>She added that easing inflation expectations have also diminished hopes for aggressive policy easing, with markets currently pricing in only one possible rate cut later this year.</p>.<p>On the outlook, Trivedi said MCX gold futures may drop to Rs 1,60,500 per 10 grams as the metal continues to trade with a volatile undertone. </p>
<p>New Delhi: <a href="https://www.deccanherald.com/tags/gold">Gold</a> futures edged lower by Rs 38 to Rs 1.61 lakh per 10 grams on Thursday as surging oil prices heightened inflationary risks and reduced the likelihood of interest rate cuts by the US Federal Reserve.</p>.<p>According to the Multi Commodity Exchange (MCX), the yellow metal for April delivery depreciated by Rs 38, or 0.02 per cent, to Rs 1,61,751 per 10 grams in a business turnover of 1,067 lots.</p>.<p>"Gold fell as surging oil prices heightened inflationary risks and reduced the likelihood of central bank interest rate cuts," Jigar Trivedi, Senior Research Analyst at IndusInd Securities, said.</p>.<p>He noted that oil prices climbed for the second straight day as the prospect of a protracted Iran war overshadowed a coordinated release of oil reserves by major economies.</p>.Gold declines Rs 853 to Rs 1.62 lakh/10g amid global bearish sentiment.<p>Meanwhile, the yellow metal futures also slipped in the overseas trade. On the Comex, gold for April delivery fell USD 6.17, or 0.12 per cent, to <a href="https://www.deccanherald.com/tags/us-dollar">USD</a> 5,170.29 per ounce.</p>.<p>The US dollar index, which gauges the greenback's strength against a basket of six currencies, was trading 0.18 per cent higher at 99.41, weighing on bullion prices.</p>.<p>Gold faced downward pressure as the dollar strengthened and US Treasury yields surged, reducing the appeal of non-yielding assets such as bullion less attractive, Renisha Chainani, Head of Research at Augmont, said.</p>.<p>She added that easing inflation expectations have also diminished hopes for aggressive policy easing, with markets currently pricing in only one possible rate cut later this year.</p>.<p>On the outlook, Trivedi said MCX gold futures may drop to Rs 1,60,500 per 10 grams as the metal continues to trade with a volatile undertone. </p>