Gold Price Today, Gold Price Outlook, Gold Price Forecast: Gold rate is trading flat on Monday, while the silver rate is up 0.19%. On Multi Commodity Exchange, gold August futures were trading at Rs 59,328 per 10 grams, down Rs 26 or 0.04%. Silver July futures were trading higher by Rs 137 at Rs 72,825 per kg on MCX.
Globally, the yellow metal prices ticked down in light trade on Monday pressured by a stronger dollar, as investors assessed the path ahead for interest rates following hawkish remarks from the U.S. Federal Reserve policymakers, according to Reuters. Spot gold fell 0.1% to $1,955.49 per ounce by 0249 GMT. U.S. gold futures eased 0.2% to $1,967.60.
“We expect gold and silver to remain volatile in today’s session. Gold has support at $1947-1936 while resistance is at $1967-1974. Silver has support at $23.94-23.82, while resistance is at $24.34-24.48. In INR terms, gold has support at Rs 59,160-58,950, while resistance is at Rs 59,520, 59,680. Silver price has support at Rs 72,280-71,720, while resistance is at Rs 73,340–73,820,” said Rahul Kalantri, VP Commodities, Mehta Equities.
Gold prices witness recovery
“Gold price traded steady after a volatile week, as the dollar held firm and investors assessed the path ahead for interest rates after the U.S. Federal Reserve’s hawkish tone. Dollar index and US Yields inched lower hovering around 102.30 and 3.7%, supporting metal prices. While the Fed paused its rate hike cycle for the first time in over a year last week, the bank still warned of the possibility of at least two more hikes this year, dimming the prospect for a recovery in gold prices, and the Fed also increased its growth forecast and overall inflation concerns.
“Fed officials last week, struck a hawkish tone in their first comments since the central bank held the policy interest rate steady at its meeting last week, but signalled that rate hikes would likely resume. Tug of war between risk on and risk off is increasing volatility in the market. Markets are now pricing in a 25 basis point hike by the Fed in July, given that inflation is still trending well above the central bank’s 2% annual target. Volatility could remain a bit lower on the back of the U.S. holiday. A testimony before Congress by Fed Chair Powell is expected to provide more cues on monetary policy, while several more Fed officials are also due to speak during the week. Along with this, focus this week will also be on the Preliminary manufacturing and service PMI data from major economies,” said Manav Modi, MOFSL.