Gold Price Today: Gold Price Today: Yellow Metal Is Trading Flat; the money holds Rs 61,000

New Delhi: Gold prices traded flat on Wednesday as investors held back from making big bets ahead of the U.S. Federal Reserve’s latest policy meeting, which could offer hints of further interest rate hikes. ‘interest.

Fed minutes are due later tonight. US durable goods data and initial weekly jobless claims are also on traders’ radar.

Earlier this month, the US central bank made a fourth straight 75 basis point rate hike to rein in inflation in what became the fastest monetary policy tightening in 40 years.

Gold futures on

were trading flat, slightly up by 0.03% or Rs 17 to Rs 52,306 for 10 grams. Silver futures jumped 0.32% or Rs 193 to Rs 61,179 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 traded flat despite a decline in the U.S. dollar index, with attention turning to minutes from the U.S. Federal Reserve’s latest meeting for hints on future rate hikes, a said ICICIDirect Research.

Gold prices are expected to trade with a positive bias for the day amid US dollar weakness and falling US yields, he said. “Traders will remain cautious ahead of the FOMC meeting minutes and major economic data for clues,” he added.

Investors have also been closely watching the economic fallout from China’s new COVID-19 restrictions. Chinese physical gold premiums fell sharply last week as buying slowed.

Physical gold traders in India were forced to offer the biggest discounts in four months last week as a rise in domestic prices hit demand, while Chinese premiums fell sharply as buying were slowing down.

In the spot market, the highest purity gold was sold at Rs 52,513 per 10 grams while silver was priced at Rs 61,551 per kg, according to the Indian Bullion and Jewelers Association.

Spot gold prices have fallen over 1,550 rupees per 10 grams over the past two weeks, while spot silver prices have jumped over 1,300 rupees per kg over the past two weeks. same period under review.

Deveya Gaglani, research analyst at Axis Securities, said gold was trading flat as the dollar index corrected expectations that the Federal Reserve would raise interest rates at a slower pace in the near term.

“Fed officials have said in recent weeks that the central bank will likely raise interest rates by 50 basis points in December,” she said. “Such a structure is positive for Bullions, which has been hammered by aggressive rate hikes this year,” he added.

Commercial strategy

The overall bullion charts look positive. Momentum Indicator RSI also indicates the same, said Amit Khare, AVP- Research Commodities, Ganganagar Commodity. He advised traders to take new long positions in gold and silver.

“The bullion charts are looking positive. The RSI momentum indicator is also indicating 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 52,200-52,000 and Rs 60,600-60,000, respectively. He further suggested booking profits near the resistance levels at Rs 52,500-52,650 and Rs 61,200 and Rs 61,800, respectively.

Global Markets
Spot gold was flat at $1,740.23 an ounce at 0306 GMT. US gold futures also remained unchanged at $1,740.50.

Spot silver was little changed at $21.07 an ounce, while platinum and palladium were flat at $990.70 and $1,860.89, respectively.

(Disclaimer: The recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)


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