The Fed’s signal of a slower pace of rate hikes provided relief to global peers to keep raising rates and relieved emerging markets, which suffered their biggest rout in more than a decade this year.
Gold futures on
were trading flat, slightly up by 0.08% or Rs 41 to Rs 52,712 for 10 grams. Similarly, silver futures gained 0.13% or Rs 79 to Rs 62,072 per kg.
Gold is seen as a hedge against inflation, which rising rates aim to tackle, thus diminishing the metal’s appeal. Higher interest rates also make other assets more attractive compared to non-interest bearing bullion.
Gold prices edged higher as the U.S. dollar fell to a three-month low after the release of minutes from the Federal Reserve’s latest policy committee meeting, which showed the Fed was looking to slow the pace of interest rate hikes, ICICIDirect said.
Growing fears of a global economic slowdown continued to support bullion prices, he added. “Gold prices are expected to trade with a positive bias for the day amid US dollar weakness,” he said.
Physical demand for gold in Asia remained weak this week as premiums in major hub China eased further as new COVID-19 restrictions slowed activity, while rising prices interiors has put off most buyers in India.
In the spot market, the highest purity gold was sold at Rs 52,713 per 10 grams while silver was priced at Rs 62,266 per kg on Thursday, according to the Indian Bullion and Jewelers Association.
Spot gold prices have fallen over 2,600 rupees per 10 grams over the past three weeks, while spot silver prices have jumped over 5,200 rupees per kg over the past three weeks. same period under review.
Rahul Kalantri, vice president of commodities, Mehta Equities, said positive hints from the Fed’s November meeting minutes released earlier this week provided a tailwind for prices.
Commercial strategy
“Global bullion charts look positive. The Momentum RSI indicator also indicates the same,” said Amit Khare, AVP-Research Commodities, Ganganagar Commodity. He advised traders to take new long positions in gold and silver.
He suggested buying gold and silver near the support levels given at Rs 52,600-52,400 and Rs 61,700-61,000, respectively. He also advised to book profits near the resistance levels at Rs 52,850-53, -00 and Rs 62,500 and Rs 63,100, respectively.
Global Markets
Spot gold gained 0.2% to $1,758.41 an ounce at 02:23 GMT, and is up 0.5% so far this week. US gold futures rose 0.7% to $1,758.30.
Silver was flat at $21.51, but was up around 3% for the week. Platinum was little changed at $988.08, while palladium firmed 0.2% to $1,883.40.
(Disclaimer: The recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
The Fed’s signal of a slower pace of rate hikes provided relief to global peers to keep raising rates and relieved emerging markets, which suffered their biggest rout in more than a decade this year.
Gold futures on
were trading flat, slightly up by 0.08% or Rs 41 to Rs 52,712 for 10 grams. Similarly, silver futures gained 0.13% or Rs 79 to Rs 62,072 per kg.
Gold is seen as a hedge against inflation, which rising rates aim to tackle, thus diminishing the metal’s appeal. Higher interest rates also make other assets more attractive compared to non-interest bearing bullion.
Gold prices edged higher as the U.S. dollar fell to a three-month low after the release of minutes from the Federal Reserve’s latest policy committee meeting, which showed the Fed was looking to slow the pace of interest rate hikes, ICICIDirect said.
Growing fears of a global economic slowdown continued to support bullion prices, he added. “Gold prices are expected to trade with a positive bias for the day amid US dollar weakness,” he said.
Physical demand for gold in Asia remained weak this week as premiums in major hub China eased further as new COVID-19 restrictions slowed activity, while rising prices interiors has put off most buyers in India.
In the spot market, the highest purity gold was sold at Rs 52,713 per 10 grams while silver was priced at Rs 62,266 per kg on Thursday, according to the Indian Bullion and Jewelers Association.
Spot gold prices have fallen over 2,600 rupees per 10 grams over the past three weeks, while spot silver prices have jumped over 5,200 rupees per kg over the past three weeks. same period under review.
Rahul Kalantri, vice president of commodities, Mehta Equities, said positive hints from the Fed’s November meeting minutes released earlier this week provided a tailwind for prices.
Commercial strategy
“Global bullion charts look positive. The Momentum RSI indicator also indicates the same,” said Amit Khare, AVP-Research Commodities, Ganganagar Commodity. He advised traders to take new long positions in gold and silver.
He suggested buying gold and silver near the support levels given at Rs 52,600-52,400 and Rs 61,700-61,000, respectively. He also advised to book profits near the resistance levels at Rs 52,850-53, -00 and Rs 62,500 and Rs 63,100, respectively.
Global Markets
Spot gold gained 0.2% to $1,758.41 an ounce at 02:23 GMT, and is up 0.5% so far this week. US gold futures rose 0.7% to $1,758.30.
Silver was flat at $21.51, but was up around 3% for the week. Platinum was little changed at $988.08, while palladium firmed 0.2% to $1,883.40.
(Disclaimer: The recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)