Gold price bullish at 126,900 levels as Fed-driven rate cut optimism rises; Silver reaches a new all-time high

The price of gold is up 1.19 percent at 1,26,900, which is its peak performance in November, so far.

The spot price of gold was hovering just above $4,224 per ounce for 24-carat purity on November 29, as of 12:13 a.m (IST). That's up nearly 1.61 percent from the previous close, as hopes for Fed Rate cut optimism rises.

As per CME FedWath Tool, probability that the Fed would lower rates to 350 to 375 bps during December monetary policy meeting has risen to 86.9 percent from 71 percent a week ago.

The Augmont Bullion report published on November 28, indicates that gold has attempted again to touch $4,215 to $4,240 resistance of its rangebound momentum. Prices would need a solid trigger for prices to climb above $4,240. If it does, the next resistance would be the previous record high of $4,400 (Rs 1,31,500). If it doesn’t, then prices can fall back to $4100 (Rs 1,23,000).

The price of December gold futures on the Multi Commodity Exchange (MCX) closed Friday at Rs 1,26,960 (11:58 p.m) per 10 grams of 24-carat purity. The price of gold is up 1.19 percent, which is its peak performance in November, so far. It hit the lowest at Rs 1,25,759 during the day’s trade.

As per Indian Bullion and Jewelers Association (IBJA), the price of physical yellow metal stood at Rs 1,26,591 per 10 grams of 999 purity on November 28, in the 18:30 p.m rate session. That's up 0.43 percent in 24 hours, and the highest this month.

Gold prices vary by purity. Check out below to see prices of gold based on their purity.

Silver reaches a new all-time high

Silver, on the other hand, continues to shine not just as a household essential but also as a key investment and industrial metal. The spot price of silver continues to hover just above $56 per ounce on November 28, as of 12:09 a.m (IST) –up just above 5 percent than previous close.

On MCX, December silver futures closed Friday at Rs 1,75,340 per 1 kg of 999 purity.

The Augmont Bullion report noted, “Silver reaches a new all-time high, with increased predictions that the U.S Federal Reserve would further lower interest rates. Silver is trading near previous record high resistance of $54 to $54.5. If it sustains, we can see a rally towards $56. If it doesn’t sustain and rebounds back, we can see profit-booking towards $50.”

Check out below to see the prices of 999 purity silver.