Gold Falls 3% in Last Week of October Amid Global Market Volatility

International Gold closed near $3,873 per ounce, down 3.03% for the week, while MCX Gold Futures ended at ₹138,419, registering a weekly decline of 2.62%. The U.S. 10-year Treasury yield finished near 4.93%, lower by around 1.18% over the week, although yields remained elevated enough to keep interest-rate sensitivity high across precious metals.

Aetram India Research observed that Gold faced a combination of changing Federal Reserve expectations and volatile global risk sentiment. The Federal Reserve kept rates unchanged during the week, while persistent inflation concerns maintained expectations of further policy tightening. Gold also came under additional pressure as the sharp retreat in global technology shares triggered broader portfolio adjustments. "The fall in Gold reflects both monetary-policy pressure and short-term liquidation. Lower Treasury yields towards the end of the week were not sufficient to immediately restore bullion momentum," the research team noted.

Indian equities, in contrast, completed a strong recovery week. The Sensex closed at 74,459.53, gaining 1.83%, while the Nifty 50 advanced 2.00% to 23,053.10. Bank Nifty finished at 54,686.95, higher by 0.74%. Pharma led the supplied sector performance with a 7.09% weekly rise, followed by Realty at 3.77%, Nifty Next 50 at 2.86%, Midcap 50 at 2.78% and Metal at 2.67%. All major sector indices in the supplied data closed the last week of October higher.

Aetram Research maintains a measured outlook after the recovery. For the Nifty, the completed week's low near 22,400 represents an important support region, while the 23,100–23,200 area remains the immediate resistance zone to watch. Earnings momentum, crude-oil prices, foreign institutional flows, U.S. economic data and global interest-rate expectations may determine whether the recovery broadens further or moves into near-term consolidation.

Aetram Research maintains that the near-term market outlook remains dependent on global cues, domestic earnings trends and sector rotation. For the Nifty 50, support is seen around the recent weekly low zone near 23,020, while resistance remains around 23,489. Market direction could depend on global bond yields, currency movement, institutional flows and upcoming economic developments.