Gold, Silver Rate Today Live Updates: MCX Gold, MCX Silver prices drop; International gold prices move up as all eyes on US-Iran peace deal

Yesterday, spot gold fell below the 200 DMA support at $4395 before it recovered on the news that US and Iran have agreed to a preliminary deal that would extend the ceasefire by 60 days. As per the Memorandum of Understanding/preliminary deal, Iran will normalise traffic in Strait of Hormuz in thirty days. US and Iran will discuss sticky issues like Iran’s nuclear stockpile, enrichment of uranium, etc in the extended ceasefire period. However, text of the MoU is still awaited as neither the US President Trump nor Iran’s Supreme Leader has commented on the deal.

Total known global gold ETF holdings at 98.51 MOz are down 0.44 MOz YTD and down by 2.42 MOz since the Iran war started. Outlook remains bearish as gold continues to behave as a risk asset.

US PCE Price Index rose 0.4% m-o-m in April (forecast 0.5%, prior 0.7%), while the Index was up 3.8% y-o-y (forecast 3.8%, prior 3.5%)– hottest since May 2023. 1Q US GDP recorded 1.6% annualized growth rate, which trailed the estimate and the prior data of 2%.

Spot gold, after rising 0.83% to $4496 yesterday, is currently trading 0.47% higher at $4515.

Although talk of preliminary deal has reduced downside pressure on the yellow metal, lack of details of the deal will keep it range bound.

Support is seen at $4450. Resistance is at $4530/$4580, says Praveen Singh, Head of Commodities at Mirae Asset ShareKhan.