Gold, Yellow Metal, precious metal
Gold prices struggled for momentum on Wednesday in the international markets as investors looked to next week's US Federal Reserve policy meeting for clues on the pace of rate hikes.
At 10.13 am, gold contracts were trading 0.2 percent higher on the Multi Commodity Exchange (MCX) at Rs 53,769 for 10 grams. Silver added 0.33 percent at Rs 65,630 a kilogram.
Spot gold was little changed at $1,770.46 per ounce, as of 0008 GMT. US gold futures were flat at $1,783.10.
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Ravindra Rao, CMT, EPAT, VP-Head Commodity Research, Kotak Securities
COMEX Gold trades flat after a range bound trade yesterday. Gold has been trading below $1800/oz as traders wait for further cues ahead of important economic data in the week. US Dollar recovered from the lows, earlier in the week as encouraging US services PMI and factory data supported. The US PPI release for November, later in the week will give further cues on the inflation situation in the US. As Fed’s stance is based on the inflation print, traders are cautious ahead of the data as seen in the range bound movement in price. Some rebound was seen in investment demand as holdings in SPDR gold shares witnessed some inflows after three straight days of outflows.
On the price front, COMEX gold has registered a double top near $1825. So, until the said resistance holds, we expect a range bound move in gold between $1773/oz to $1820/oz.
Rahul Kalantri, VP Commodities, Mehta Equities
Gold and silver prices were marginally higher on Tuesday, as the metals quickly rebounded from Monday’s selling pressure. The bulls have the overall near-term technical advantage. Metals markets were battered by a sharp rise in US interest rates this year, as higher yields increased the opportunity cost of holding non-yielding assets.
Gold has support at $1759-1750 while resistance is at $1778-1787. Silver has support at $21.95-21.76, while resistance is at $22.48-22.61. In rupee terms gold has support at Rs 53,380-52,950, while resistance is at Rs 53,980, 54,380. Silver has support at Rs 64,650-64,080, while resistance is at Rs 65,920–66,540.
Nirpendra Yadav, Senior Research Analyst, Swastika Investmart
Precious metals remained range-bound yesterday as the US dollar index hovered above 105 levels. However, the US benchmark Treasury yield slipped below 3.6 percent put pressure on the dollar index and supporting the bullion. Precious metals have resumed uptrend amid falling US Treasury yield. Gold has resistance at Rs 54100 and support at Rs 53400. Silver has resistance at Rs 66700 and support at Rs 64800.
Prathamesh Mallya, AVP- Research, Non-Agri Commodities, and Currencies, Angel One
Gold prices on Tuesday managed to buck the weaker trend and concluded on marginally positive note. Gold ended at 1770.9$ per ounce. Investors are currently waiting for the US Fed Reserve rates, which are expected next week, for clues of the rate hikes' speed. This year, high interest rates have hurt gold's role as a conventional hedge against inflation and other concerns.
As a result of weaker global demand and a strong currency, which drove goods exports to a seven-month low in October, the US trade imbalance increased significantly. Anticipation that the US Fed might hike interest rates will likely be a headwind for gold.
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