New Delhi, Aug 6: Gold prices on Thursday climbed to a seven-week high as lower US Treasury yields boosted safe-haven demand even as optimism over a possible US-Iran agreement raised hopes of easing geopolitical tensions in West Asia.

On the Multi Commodity Exchange (MCX), gold futures (October 5) opened 0.36 per cent or Rs 536 higher at Rs 1,49,029 per 10 grams and later touched an intraday high of Rs 1,49,700 — an increase of 0.81 per cent or Rs 1,207 by 12:10 pm.

On the other hand, silver futures (September 4) prices have witnessed buying momentum in early deals.

The white metal touched an intraday high of Rs 2,28,397 per kg, an increase of 0.35 per cent or Rs 813 compared to the previous close of Rs 2,27,584. At the last count, it was trading at Rs 2,26,580, a decrease of 0.44 per cent or Rs 1,004.

In the international market too, COMEX gold was trading 0.36 per cent higher at $4,320 per ounce. COMEX silver was at $62.36 per ounce, up 0.12 per cent.

However, the rally came despite reports claiming that the Strait of Hormuz could reopen and comments by US President Donald Trump indicating that Washington was seeking to reach an agreement with Iran.

According to market experts, expectations that easing tensions in the region could lead to lower crude oil prices have reduced concerns over inflation and near-term US monetary tightening, putting pressure on US Treasury yields.

For MCX gold, immediate resistance is at Rs 1,50,000-1,50,700 and a break above targets next resistance at Rs 1,52,200-1,52,800, the experts said, adding that immediate support is at Rs 1,48,600-1,48,000 with next support at Rs 1,46,600-1,46,000.

“Price has decisively broken above all key EMAs (20/50/100/200), confirming a strong shift in near-term momentum after weeks of consolidation. Bias stays positive above Rs 1,49,000, with a hold needed to extend gains toward Rs 1,50,000; a slip below Rs 1,49,000 would signal exhaustion after the sharp run-up, they added.

For silver, the analysts said that a sustained move above Rs 2,29,000 and a break above targets next resistance at Rs 2,31,500-2,32,500.

Immediate support is at Rs 2,25,000-2,24,000, previously resistance now acting as support, with next support at Rs 2,22,000-2,21,000, according to them.

Price is holding above its 20-EMA and 200-EMA, with RSI at 54, edging upward, reflecting improving momentum, though a decisive close above the 50-EMA is needed to confirm renewed strength, the experts said, adding that bias stays cautiously constructive above Rs 2,28,000, with a break above Rs 2,30,000 opening the path toward higher levels; a slip below Rs 2,27,000 risks a pullback toward Rs 2,25,000.

Additionally, Brent crude — the international oil benchmark — slipped 0.51 per cent to trade below $80 per barrel. Similarly, US West Texas Intermediate (WTI) crude slumped nearly 1 per cent to below $75.

New Delhi, Aug 6: India’s consumer price index is expected to settle at 4.5 per cent in July 2026, with risks tilted to the upside as food inflation broadens across key items, a report said on Thursday.

The report from Bank of Baroda said inflation remains broad‑based across essential commodities, led by onions, edible oils, rice and pulses, although improved arrivals of key vegetables and a normal monsoon offer some comfort.

Core inflation (excluding food and fuel) is expected to remain contained at around 4–4.1 per cent, supported by softer international gold prices, though higher input costs could create upside pressure going forward.

The bank mentioned that its Essential Commodities Index (BoB ECI) has risen at its sharpest pace in the entire series in July 2026 by 4.1 per cent, on YoY basis. In August 2026, the build-up was even higher (first 5-days) at 5.4 per cent.

The bank noted that among vegetables the arrival statistics for TOP (tomato, onion and potato) have been comforting despite stickiness in onion price trajectory.

International gold prices have softened further by -3.7 per cent on MoM basis, hence personal care and effects of core inflation are likely to derive some relief. Core excluding precious metals is also likely to be muted for now, the report noted.

Monsoon progress was mentioned as favourable, with 63 per cent of States receiving normal rainfall.

The area sown as percentage of normal area of major Kharif crops (except oilseeds and sugarcane) as on July 31, 2026 have remained above the same period of previous year.

International food prices, especially edible oils, have softened, the report said.

The bank warned that upside risks could emerge in the near term as corporate Q1 transcripts indicate pass‑through of higher input costs to consumers amid robust demand conditions.

Mumbai, Aug 5: The Reserve Bank of India (RBI) on Wednesday projected consumer price inflation at 5 per cent for FY27, while expecting it to rise further in the near term.

Announcing the Monetary Policy Committee’s (MPC) decision to keep the repo rate unchanged at 5.25 per cent, Malhotra said headline consumer price inflation (CPI) rose to 4.4 per cent in June after remaining below the central bank’s 4 per cent target for 16 consecutive months.

However, he reiterated that the Indian economy remains resilient and continues to be supported by robust domestic demand, sustained manufacturing and services activity, healthy investment trends and strong exports.

Moreover, Q1 inflation was 30 basis points lower than the RBI’s earlier projection, reflecting limited pass-through of input cost pressures, he noted.

Despite the increase in food and fuel costs, core inflation — excluding food and fuel — remained unchanged at 3.9 per cent during May and June.

Excluding precious metals, core inflation was even lower at 2.3-2.5 per cent, indicating that broader demand-side inflationary pressures remain subdued.

In addition, the RBI has projected CPI inflation at 5 per cent for FY27, with quarterly projections of 4.7 per cent in Q2, 5.9 per cent in Q3 and 5.5 per cent in Q4.

While inflation for the first quarter of FY28 is projected at 5.3 per cent.

Malhotra said risks to the inflation outlook continue to stem from the impact of El Nino on rainfall distribution, volatility in global crude oil prices and geopolitical developments.

The Governor added that growth remains resilient, supported by steady domestic demand, sustained expansion in manufacturing and services activity, healthy investment trends and robust exports.

High-frequency indicators suggest that private consumption remained strong during the first quarter of FY27, while investment activity continued to be supported by construction, capital goods production and bank credit growth.

“Growth continues to be supported by resilient domestic demand, sustained expansion in manufacturing and services activity, and robust exports, reaffirming India’s position as the world’s fastest-growing major economy,” Malhotra said.

The RBI Governor said the MPC decided to maintain the repo rate and retain the neutral policy stance as greater clarity is needed on the future trajectory and composition of inflation before any monetary policy action is considered.