Gold Price Today, Gold Price Outlook, Gold Price Forecast: Gold prices climbed on the weaker U.S. dollar on Thursday, while the silver rate jumped 0.65%. On the Multi Commodity Exchange, gold August futures were trading at Rs 59,564 per 10 grams, showing a rise of Rs 103 or 0.17%. Meanwhile, silver September futures also experienced an upward trend, gaining Rs 493 and reaching Rs 75,817 per kg on MCX.
Gold prices rose to a one-week high on Thursday, supported by a slightly weaker dollar, while traders digested fairly balanced comments from U.S. Federal Reserve Chair Jerome Powell after a widely expected interest rate hike, according to Reuters. Spot gold was up 0.3% at $1,977.13 per ounce, after earlier hitting its highest since July 20, while U.S. gold futures rose 0.4% to $1,978.70.
“We expect gold rate and silver to remain volatile in today’s session. Gold has support at $1964-1952 while resistance is at $1988-1996. Silver rate has support at $24.88-24.74, while resistance is at $25.20-25.32. In INR terms gold price has support at Rs 59,220-58,980, while resistance is at Rs 59,680-59,840. Silver price has support at Rs 74,880-74,220, while resistance is at Rs 75,940–76,520,” Rahul Kalantri added.
Traders eye Policy announcement of European Central Bank, Bank of Japan
“Gold prices held near their highest levels in a week after the U.S. Federal Reserve delivered a widely expected interest rate hike and investors digested fairly balanced comments from Fed Governor Powell. The Fed raised interest rates by 25bps, setting the Fed fund target rates at the 5.25%-5.50% range, and highlighting that another 25 bps hike could be possible at the September meeting based on a wide range of data. Fed Chair Jerome Powell also raised concerns regarding still higher inflation and that the economy still needed to slow and the labour market to weaken for inflation to “credibly” return to the U.S. central bank’s 2% target, yet were no longer forecasting a U.S. recession,” said Manav Modi, Research Analyst Commodities and Currencies at MOFSL.
“The Fed meet was in line with what market participants had discounted for, weighing further on the dollar index. On the data front, the United States is expected to report that Q2’s GDP increased at a 1.8% YoY, while initial claims for unemployment benefits are expected to have increased 7,000 to a seasonally adjusted 235,000 for the week ended July 22. Focus also shifts to policy decisions from the European Central Bank and Bank of Japan due this week, with the ECB expected to raise rates for the ninth time,” Manav Modi added.