Domestic gold prices ticked higher on Friday supported by a pullback in the US dollar in the initial trade amid concerns over another US Federal Reserve interest rate hike. On MCX, gold prices reeled 0.06 percent higher from the previous close at Rs 50,912 per 10 grams. Meanwhile, Silver rates were up 0.46 percent at Rs 57,400 per kg.
Manoj Kumar Jain, Head-Commodity and Currency Research at Prithvi Finmart, expects gold and silver to remain highly volatile amid volatility in the dollar index and global recession fears.
He also suggested "staying away from precious metals in today's session ahead of the US retail sales data".
"At MCX, gold is having support at Rs 50,660-Rs 50,500 and resistance at Rs 51,050-Rs 51,220 while silver is having support at Rs 56,650-Rs 56,100 and resistance at Rs 57,550-Rs 58100," Kumar said.
The rise in metal prices came as dollar index fell after gaining for seven sessions in a row. However, at the time of writing this report, US Dollar Index Futures were up nearly 0.05 percent at 112.3.
Besides, Indian equity benchmarks
Sensex and Nifty50 opened over one percent higher on Friday pulled by gains across sectors. A worse-than-expected US inflation reading fueled fears of the impact of steep rate hikes on economic growth.
