Gold Price Today, 16 June 2021: Gold gives up 48,500, trades weak ahead of US Fed meet outcome

By: |
June 16, 2021 10:13 AM

Gold Rate Today, Gold Price in India on 16 June 2021: Gold prices were marginally up on Wednesday, taking cues from global markets, where investors awaited the outcome of the US Federal Reserve meeting.

Gold Rate Today, Gold Price Today in IndiaGold prices were trading at 2-month low as U.S. consumer confidence index came in better-than-expected in June, said an analyst

Gold Price Today, Gold Price Outlook, Gold Price Forecast: Gold prices were marginally up on Wednesday, taking cues from global markets, where investors awaited the outcome of the US Federal Reserve meeting. On Multi Commodity Exchange, gold August futures were trading Rs 36 up at Rs 48,460 per 10 gram, against the previous close of Rs 48,424. Silver July futures were ruling at Rs 71,475 per kg, up Rs 227 or 0.32 per cent. Globally, spot gold was down 0.2 per cent at $1,861.96 per ounce, after falling to its lowest since May 17 at $1,843.99 on Monday. U.S. gold futures eased 0.1 per cent to $1,863.10, according to Reuters. The dollar strengthened 0.1 per cent to hover close to a one-month high versus its rivals, making gold more expensive for other currency holders.

Anuj Gupta, VP – Commodity and Currencies Research, IIFL Securities

Yesterday gold prices corrected sharply and closed at 48424 levels and in the international market it was trading at $1855 per ounce. Strength in dollar the main reason for the correction in gold prices. Feb meeting on rates would be the trend deciding factor for gold prices. However as per the scenario FED may take instance to curb the liquidity which may be negative for Gold price. For today traders can go for sell in gold at 48600 levels with the stoploss of 48850 levels for the target of 48100 levels. We expect gold may test $1830 per ounce level very soon.

Tapan Patel, Senior Analyst (Commodities), HDFC Securities

Gold prices traded weak with spot gold prices at COMEX traded near $1857 per ounce. The yellow metal traded near four week lows as traders and investors awaited the outcome from US FOMC meeting. The speculation that the FED may signal any plan to unwind asset purchase program has kept gold prices under pressure. Gold prices at MCX have capped downside on rupee depreciation. We expect gold prices to trade sideways to down for the day with COMEX gold support at $1840 and resistance at $1870 per ounce. MCX Gold August support lies at Rs. 48000 and resistance at Rs. 48800 per 10 gram.

Jigar Trivedi, Fundamental Research Analyst, Anand Rathi Shares and Stock Brokers

Outlook is neutral in bullion commodities. FOMC will announce its decision on interest rates followed by statements at 11.30 IST. There’s growing nervousness about rising inflation and the feeling in precious metal markets is that central banks have to start to respond a bit more aggressively to these inflationary pressures. MCX gold August may stay in a tight range from R. 48,400 to 49,500 during the day session.

Ravindra Rao, CMT, EPAT, VP- Head Commodity Research at Kotak Securities

COMEX gold trades little changed near $1856/oz after a 0.5% decline yesterday. Gold has turned range bound as market players position for Fed decision. Gold has already corrected in expectation that Fed may hint toward monetary tightening and further movement may come from actual stance. ETF investors have also moved to sidelines.

(The views in this story are expressed by the respective experts of research and brokerage firm. Financial Express Online does not bear any responsibility for their advice. Please consult your investment advisor before investing.)

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, Check out latest IPO News, Best Performing IPOs, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1Basic customs duty removed, agri infra cess halved on lentils
2Modi govt scraps basic customs duty on masoor dal to bring down retail prices
3Gold prices weaken on strong US dollar; expect bullion rates to trade under pressure this week