Gold & Silver Stay Flat Despite US EU Deal: Will MCX Bulls Strike Back This Week?
- 28th July 2025
- 02:00:00 PM
- 3 min read
Mumbai | July 28 – PL Capital’s Sandip Raichura decodes the near-term outlook and strategy for gold and silver as investors eye key global events.
“Markets are in pause mode, not reversal mode. Use dips to build gradual exposure—especially in silver, where structural drivers remain strong,” said Sandip Raichura, CEO – Retail Broking & Distribution, PL Capital.
Gold and silver prices opened the week flat in the domestic futures market on July 28, even as global equities rallied on news of a US-European Union trade pact. The shift in risk appetite kept precious metals subdued, while a stable US dollar further dampened buying interest. On the MCX, August gold futures were marginally up by 0.07% at ₹97,890 per 10 grams, and September silver contracts traded 0.05% higher at ₹1,13,107 per kg around 9:15 AM.
The recent agreement between US President Donald Trump and European Commission President Ursula von der Leyen to impose 15% tariffs on most European imports—lower than the feared 30%—boosted equities worldwide but offered little support to bullion. According to Raichura, “Gold is consolidating as traders weigh global signals. It’s not a trend reversal—rather, a tactical pullback. Investors should look at it as an opportunity to add positions before central bank actions or global shocks reset the narrative.”
Raichura also highlighted silver’s strength, calling it structurally more promising in the near term. “Silver is showing signs of a breakout. A sustained move above ₹1,14,500 could take it to ₹1,16,000 quickly. Traders and long-term investors alike should use declines around ₹1,12,800 to build positions,” he added. On the flip side, MCX Gold needs to defend ₹97,200 on the downside, with a breakout expected if it crosses ₹98,500–₹99,300. A move past ₹1,00,000 remains on the radar if global triggers align.
While international cues dominate the narrative, domestic trends aren’t to be ignored. As per the World Gold Council, India’s gold demand fell 15% YoY in Q1CY25 to 118.1 tonnes, but value surged 22% owing to high prices. The sentiment on MCX gold remains range-bound unless fresh catalysts emerge.
Looking ahead, traders are watching key events such as the US Fed and BoJ policy meets, PCE inflation data, US jobs report, and the August 1 tariff deadline. Against this backdrop, PL Capital maintains a cautiously optimistic stance, especially on silver.
PL Capital
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.
