According to The Times of India, gold futures on the Multi Commodity Exchange (MCX) fell Rs 818 to Rs 1,44,022 per 10 grams on Friday, weighed down by weak spot demand. The October delivery contract declined 0.56 per cent, with a business turnover of 683 lots. Analysts attributed the decline to softer demand in the physical market, Reuters reported.
Global cues: firmer dollar and profit taking
In the global market, gold futures were trading 0.69 per cent lower at USD 4,075 per ounce in New York, the report said. Spot gold fell 0.6% to $4,076.53 an ounce, while US gold futures for August delivery declined 0.4% to $4,074.20. Despite the decline, bullion was up about 1.7% for the month and 0.6% for the week, supported by bargain buying around the $4,000-an-ounce level.
Market analysts attributed the day's weakness to profit booking and a rebound in the US dollar after the greenback posted its sharpest single-day decline since January 2023, Reuters reported. A stronger dollar typically makes gold more expensive for overseas buyers. Investors also continued to assess the impact of developments in the Middle East and the US Federal Reserve's decision to keep interest rates unchanged.
Thursday's session and equity market backdrop
The Friday fall followed a softer Thursday session, when a firmer US dollar and subdued market sentiment weighed on prices. On MCX, the August contract fell Rs 181, or 0.13%, to Rs 1,41,600 per 10 grams after settling at Rs 1,41,781 in the previous session. The October contract declined Rs 252, or 0.18%, to Rs 1,43,031 per 10 grams. In the international market, Comex gold futures for August delivery edged lower to $4,031.70 an ounce.
Benchmark equity indices ended higher on Thursday, driven by a rally in blue-chip stocks Reliance Industries, HDFC Bank and foreign fund inflows, the report said. The 30-share BSE Sensex ended 273.55 points, or 0.35 per cent, higher at 77,928.15, while the 50-share NSE Nifty went up by 66.95 points, or 0.28 per cent, to end at 24,317.15. From the Sensex pack, Maruti, Mahindra & Mahindra, Reliance Industries, State Bank of India, HDFC Bank and Power Grid were among the major winners. Adani Ports, InterGlobe Aviation, Bajaj Finserv and Bharat Electronics were among the laggards.
| Date | Contract | Price (Rs/10g) | Daily Change | % Change |
|---|---|---|---|---|
| Friday | MCX October | 1,44,022 | -818 | -0.56% |
| Thursday | MCX August | 1,41,600 | -181 | -0.13% |
| Thursday | MCX October | 1,43,031 | -252 | -0.18% |
World Gold Council: demand holds steady in Q2
Global gold demand remained largely unchanged in the April-June quarter as softer prices moderated investment demand after the record rally earlier this year, according to the World Gold Council (WGC). In its Q2 2026 Gold Demand Trends report, the WGC said:
Total gold demand stood at 1,269 tonnes in the second quarter of 2026, almost unchanged from 1,268.6 tonnes a year earlier.
The WGC reported that gold demand in the first half of 2026 rose 2% year-on-year to an estimated 2,522 tonnes, valued at around USD 380 billion.
For commodity traders following precious metals, the report shows the market underpinned by bargain buying near $4,000 an ounce, while the MCX October contract's drop to Rs 1,44,022 on weak spot demand sets a new reference level. With the dollar's rebound and the Federal Reserve's steady policy, gold remains sensitive to currency and geopolitical headlines, as the source report details.
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