Gold Price Today, Gold Price Outlook, Gold Price Forecast: Gold prices were trading weak in India on Thursday, mirroring the global trends. On Multi Commodity Exchange, gold October futures were ruling Rs 160 or 0.3 per cent down at Rs 52,081 per 10 gram, as against the previous close of Rs 52,241. Silver September futures were down Rs 404 or 0.7 per cent to Rs 58,556 per kg. Globally, yellow metal prices fell as the U.S. dollar and Treasury yields rebounded after comments from Federal Reserve officials pointed to aggressive interest rate hikes despite signs of slowing inflation in the world’s largest economy, according to Reuters. Spot gold was down 0.4% at $1,784.88 per ounce, after hitting its highest since July 5 at $1,807.79 on Wednesday. U.S. gold futures dipped 0.7% to $1,800.20.
Navneet Damani, Sr. Vice President – Commodity & Currency Research, Motilal Oswal Financial Services
Precious metals extended its gains following weakness in the dollar against its major crosses after inflation in the US came lower than estimates. U.S. consumer prices did not rise in July due to a drop in gasoline costs, the first notable sign of a pause in inflation that has climbed over the past two years. Gold gave up some of its gains after Minneapolis Fed President Neel Kashkari and Chicago Fed President Charles Evans reaffirmed an aggressive path for interest rate hikes. Focus today will be on the U.S. PPI and weekly jobless claims data. Broader trend on COMEX could be in the range of $1770- 1820 and on domestic front prices could hover in the range of Rs 51800-52250.
Ravindra Rao, VP- Head Commodity Research at Kotak Securities
COMEX gold trades modestly lower near $1800/oz as the US dollar index recovered after yesterday’s sharp sell-off. The US dollar recovered as hawkish comments from Fed officials rekindled expectations that the central bank may continue with aggressive rate hikes. Easing price pressure globally has also reduced gold’s demand as an inflation. ETF flows also show weaker investor interest. Gold set fresh highs yesterday but failed to sustain and has now moved back to $1800/oz level which shows waning confidence. Fed’s tightening expectations may keep US dollar supported which may weigh on gold prices.
Pritam Patnaik, Head – Commodities, HNI & NRI Acquisitions, Axis Securities
Softening inflation led to Gold prices rallying to their one-month highs, but it subsequently corrected after Fed officials dashed hopes of easing off future rate hikes, anytime soon. The Minneapolis Fed president indicated that the Fed needs to raise rates to 3.9% to 4.4% by the end of 2023 to cool off inflation. Not a dovish stance, as expected by the markets. Adding to this, the market feels that lower inflation could lead to avoidance of an impending recession, which led to a rally in riskier assets across the board. This erased any up-move in gold thanks to a weakening dollar. Today the market will be closely watching the US PPI data to see if the softening inflationary trend is carried on to the industrial sector too.
Tapan Patel, Senior analyst — Commodities, HDFC Securities
Gold prices traded weak on Thursday with COMEX Spot gold prices were trading 0.28% down near $1787 per ounce in the morning trade. MCX Gold October futures opened lower near Rs. 52050 per 10 gram following weak global cues. Gold prices retreated after US inflation data eased recession worries. The weaker dollar capped downside for the day. We expect gold prices to trade sideways to down for the day with COMEX Spot gold support at $1770 and resistance at $1795 per ounce. MCX Gold October futures support lies at Rs. 51800 and resistance at Rs. 52300 per 10 gram.
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