Expect Gold to trade sideways: Sushil Finance

Sushil Finance's report on Gold

Gold dipped in choppy trading on Friday as traders cashed in gains from  the metal's rally to 3 - 1/2 - month highs this week and as the dollar rose  even after weaker - than - expected U.S. payrolls data for December. The metal remained on track for a fourth straight weekly gain, something it has not done since Apr il although it posted an annual increase of 13 percent in 2017. The U.S. December non - farm payrolls report was weaker than expected.  The dollar dipped briefly, then rose as investors reckoned the data would not deter U.S. Federal Reserve from raising interest rates multiple times this year though at a gradual pace. Traders overall stuck to their conviction that the Federal Reserve will raise rates at least twice this year, a Reuters analysis of fed funds futures contracts traded at CME Group suggested. Gold is highly sensitive to rising U.S. interest rates, as these increase the opportunity cost of holding non - yielding bullion, while boosting the dollar, in which it is priced.

Outlook
We expect gold prices to trade sideways on the back of profit booking after rise in prices.
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