Gold and silver prices in India today edged higher, recovering from a sharp fall in the previous session. On MCX, gold futures edged 0.54% higher to 50,781 per 10 gram while silver futures advanced 0.23% to 69,580 per kg. In the previous session, gold had slumped by 

1230 per 10 gram while silver had declined 1,700 per kg.

Geojit Financial in a note said that MCX gold and silver futures have support at 50,080 and 68,200 respectively.


In global market, gold prices today edged higher after a sharp drop in the previous session. Investors bet that a Democratic win in the US Senate race will help in unleashing more fiscal stimulus. Spot gold rose 0.2% to $1,922.81 per ounce. In the previous session, gold had fallen as much as 2.5%.

Breaking $1880 support level would trigger major selling pressure in the counter, Geojit said.

"Both Democrats candidates have won in the Georgia Senate runoffs. The Democrats now effectively have control of the Senate as well. The President, Senate, House are all Democrat which makes legislation easy to pass. The hopes of further fiscal stimulus caused the Dow to rally 1.5% overnight. The US Dollar continues to trade weak post the outcome," said Abhishek Goenka, Founder and CEO, IFA Global.

However, ratcheting up tensions, hundreds of supporters of President Donald Trump have stormed the US Capitol on Wednesday in a bid to overturn his election defeat.

Among other precious metals, silver shed 0.4% to $27.19 an ounce while platinum was flat at $1,101.33, while palladium eased 0.1% at $2,437.23.

Minutes of Federal Reserve's December 15-16 meeting released yesterday showed officials unanimously backed holding the pace of asset purchases steady when they met last month, with some open to “future adjustments" if needed.

The US central bank slashed its benchmark interest rate to nearly zero in March at the onset of the coronavirus pandemic and ramped up crisis-era bond-buying programs to pump liquidity into the financial system and keep a lid on longer-term interest rates.

Stimulus measures by central banks and governments across the world to mitigate the impact of coronavirus had lifted gold prices by over 25% last year while silver had rallied about 50%. Gold is seen as a hedge against inflation and currency depreciation.