Gold Prices Rise as US Dollar Weakens; Key Levels to Monitor

Gold prices experienced a modest increase on November 6, 2025, driven by a weakening US dollar and heightened demand for safe-haven assets. At the time of reporting, MCX Gold December futures rose by 0.14% to Rs. 1,20,687 per 10 grams. Concurrently, MCX Silver December contracts edged up 0.06% to Rs. 1,47,411 per kilogram.

Market Influences: Dollar Eases, Yields Elevated

The US dollar index fell approximately 0.20%, remaining just below a four-month high. Meanwhile, the yield on the 10-year Treasury note held close to its monthly peak. The recent ADP employment report revealed that US private payrolls rose by 42,000 in October, surpassing expectations of a 28,000 increase. This robust jobs data has tempered expectations for further rate cuts by the Federal Reserve this year, contributing to a complex market environment.

In Mumbai, local gold prices saw a slight decline. The price of 24-carat gold fell to Rs. 12,147 per gram, down from Rs. 12,148 the previous day. The price for 10 grams decreased to Rs. 1,21,470 from Rs. 1,21,480. Similarly, 22-carat gold slipped to Rs. 11,134 per gram from Rs. 11,135, with the 10-gram price easing to Rs. 1,11,340 from Rs. 1,11,350.

In contrast, gold prices in Chennai showed an upward trend. The price of 24-carat gold rose to Rs. 12,273 per gram from Rs. 12,197 the previous day, with 10 grams increasing to Rs. 1,22,730 from Rs. 1,21,970. The price of 22-carat gold also saw a rise, reaching Rs. 11,250 per gram from Rs. 11,180.

Analysts Predict Fluctuating Prices

Market analysts anticipate continued fluctuations in gold and silver prices as traders assess global economic indicators and upcoming US non-farm payroll data. Gold is maintaining significant support around $3,875 per ounce, while silver support is noted at $46.50 per ounce. Analysts forecast that gold prices may range between $3,870 and $4,140, while silver prices could fluctuate between $46.50 and $50.50 per troy ounce this week.

On the MCX, support levels for gold are identified at Rs. 1,19,900 and Rs. 1,19,350, with resistance noted at Rs. 1,21,100 and Rs. 1,21,650. For silver, support levels are at Rs. 1,46,000 and Rs. 1,44,400, with resistance at Rs. 1,48,500 and Rs. 1,49,400.

Despite the strong employment data from the US, gold prices rose over 1% on Wednesday, with spot gold trading at $3,977.94 per ounce and US gold futures at $3,989.80 per ounce. With the Federal Reserve indicating a pause in interest rate cuts, traders are bracing for potentially volatile trading sessions ahead, though the long-term outlook for gold remains positive.