Why Is Gold Price Rising Today, August 24: MCX Gold Nears Rs 1.64 Lakh On Weak Dollar, Debt Concerns
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A weaker dollar and renewed US debt sustainability concerns drove gold's fourth straight session of gains, with MCX gold October futures near Rs 1,63,570 per 10 grams as markets await Jackson Hole and PCE data.
Gold prices rose for a fourth straight session on Monday, supported by a weaker US dollar and renewed concerns over US debt sustainability, as investors awaited key inflation data and a closely watched speech from Federal Reserve Chair Kevin Warsh later this week.
MCX gold October futures were trading at Rs 1,63,570 per 10 grams, up Rs 1,132 from the previous close of Rs 1,62,438, around the time of writing.
The contract opened lower at Rs 1,62,052 before recovering through the session. It touched a high of Rs 1,63,585 and a low of Rs 1,62,001.
Gold has gained nearly Rs 8,200 per 10 grams over the last four sessions. However, it remains below its yearly high of Rs 1,80,779 touched earlier in 2026.
In the international market, Comex gold was up $25.70 at $4,706.30 per ounce. The contract opened at $4,673.40 against its previous close of $4,680.60.
Why Is Gold Price Rising Today?
The US dollar hovered near multi-month lows after the US Treasury signalled plans to buy back longer-term bonds, reviving what traders call the debasement trade.
A weaker dollar makes gold, which is priced in the US currency, cheaper for buyers holding other currencies and can support demand for the precious metal.
Concerns over US debt sustainability have also supported gold prices. Treasury Secretary Scott Bessent signalled additional debt buybacks and steps to contain elevated borrowing costs, adding to concerns around the country's fiscal position.
Geopolitical tensions have provided another source of support. The US threatened Iran with what it called its largest-ever financial offensive and prepared fresh sanctions targeting Tehran's trade partners. The developments kept safe-haven demand for gold intact, even as they weighed on crude oil prices.
Investors are now looking ahead to the July Personal Consumption Expenditures (PCE) price index and Warsh's speech at the Jackson Hole symposium later this week. Both events could provide fresh signals on the outlook for US interest rates.
Gold: Key Levels To Watch
According to Kotak Neo Research, MCX gold October futures have support at Rs 1,62,111, Rs 1,61,499 and Rs 1,59,518, while resistance is placed at Rs 1,64,091, Rs 1,64,703 and Rs 1,66,684.
The firm has marked Rs 1,61,499 as the buying zone for the contract, with a stop loss below Rs 1,59,518. The selling zone is at Rs 1,64,703, with a stop loss above Rs 1,66,684.
For the more actively traded December contract, Kotak Neo Research has support at Rs 1,64,201, Rs 1,63,603 and Rs 1,61,670. Resistance is placed at Rs 1,66,134, Rs 1,66,731 and Rs 1,68,664.
The buying zone is at Rs 1,63,603, with a stop loss below Rs 1,61,670. The selling zone is at Rs 1,66,731, with a stop loss above Rs 1,68,664.
In the international market, spot gold has support at $4,602, $4,578 and $4,501, while resistance is placed at $4,680, $4,704 and $4,782, according to the firm.
MCX Gold Price Today
At the time of writing, MCX gold October futures were trading at Rs 1,63,570 per 10 grams, up Rs 1,132 from the previous close.
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This article is for informational purposes only and should not be considered investment advice from Kotak Neo. For compliance T&C and disclaimers, Visit www.kotakneo.com/disclaimer
Rochelle Britto has spent 8+ years decoding India's markets, businesses, and consumer economy, reporting for ET Prime and Times Internet along the way, covering the stories behind the numbers.
A Mumbai native and perpetual planner of the next holiday, she stays far, far away from the eternal question, “Where are we going next?” When she's not chasing headlines, she's chasing new cultures, open roads, and a bit of quiet in nature.
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