Gold prices inched down on Tuesday following an uptick in the dollar. MCX Gold was trading 0.36 per cent, or Rs 105, down at Rs 29,178 in early trade.
Market participants are also zeroing in on unrest between US and North Korea amid some caution ahead of an annual central banking meeting in Jackson Hole later this week.
According to SMC Investments and Advisors, bullion counter may trade on the sideways path as the movement of the greenback and safe haven demand amid North Korean tensions will give further direction to the prices. Meanwhile, movement of local currency can give further direction to the prices.
“Gold can move in a range of Rs 29,000-29,400 per 10 gram while silver can move in a range of Rs 38,700-39,500 in near term,” the brokerage house said in a research note.
MCX Silver was also trading 0.35 per cent, or Rs 136, down at Rs 38,952 per 1 kg around 10.20 am (IST).
SPDR Gold Trust GLD, the world’s largest gold-backed exchange traded fund, said its holdings stood at 799.29 tonnes, up 3.85 tonnes, from the previous business day.
Latest holdings of the largest silver backed exchange-traded-fund (ETF), Gold Silver New York’s i Shares Silver Trust SLV, stood at 10,401.24 tonnes, remain unchanged from the previous business day.
Meanwhile, domestic equity market was trading flat following mixed global cues. The BSE Sensex was up 7.88 points, or 0.03 per cent, at 31266, while NSE Nifty index was up 11 points, or 0.12 per cent, at 9,765 in the morning trade.