Gold Price Today, Gold Price Outlook, Gold Price Forecast: Gold rate is trading higher on Wednesday, while the silver rate is up 0.14%. On Multi Commodity Exchange, gold August futures were trading at Rs 58,164 per 10 grams, up Rs 57 or 0.10%. Silver July futures were trading higher by Rs 99 at Rs 69,440 per kg on MCX.
Gold held near three-month lows on Wednesday after strong U.S. economic readings offset bullion’s traditional safe-haven status, while traders positioned for Federal Reserve Chair Jerome Powell’s speech and more data for clues on rate hikes, according to Reuters. Spot gold rose 0.1% to $1,915.22 per ounce hovering close to its lowest level since March 16 at $1,910. U.S. gold futures were flat at $1,924.10.
“We expect the short-term trend to remain negative in gold, and gold rate are likely to witness a dip correction towards $1884/oz below the $1905/oz level. For the day, Comex spot gold has support at $1905 per ounce and resistance at $1933 per ounce. MCX Gold August future has support at Rs 57,850 per 10 gram and resistance at Rs 58,560 per 10 grams, said Saumil Gandhi, Senior Analyst (Commodities), HDFC Securities.
Gold to remain volatile
“Gold prices hovered near three-month lows as better than expected economic data from the US supported the rate hike dialogue, yet traders awaited cues from Federal Reserve Chair Jerome Powell and more economic data for a path ahead on rate-hikes. U.S. consumer confidence increased in June on labour market optimism, while new single-family home sales rose more than expected in May. US core durables goods orders data was also reported better than expectations.
“These positive economic data points justified Fed officials’ comments regarding possible rate hikes in future red meetings. Market participants expect a 77% chance of a rate hike in July, according to CME’s Fedwatch tool. Focus now shifts to personal consumption expenditure (PCE) price index data for May, first quarter GDP data, and weekly jobless claims for the week ended June 23. Comments from Fed, ECB and BOE governors will also be important to keep an eye on”, said Manav Modi, Research Analyst Commodities and Currencies at MOFSL.