Gold price: Yellow metal trades steady near Rs 45,400; silver trades flat

Gold price: Yellow metal trades steady near Rs 45,400; silver trades flat

NEW DELHI: Gold futures were trading with marginal cuts on Monday buoyed by concerns over inflation after US President Joe Biden announced a $2 trillion-plus jobs plan last week, while a stronger dollar and elevated US Treasury yields limited bullion’s upside.

Gold is seen as a hedge against rising inflation, but firmer Treasury yields, which translates into a higher opportunity cost for holding bullion, have challenged that status.

Gold futures on MCX were down 0.11 per cent or Rs 48 at Rs 45,370 per 10 grams. Silver futures dipped 0.02 per cent or Rs 14 to Rs 65,075 per kg.

In the spot market, gold rallied by Rs 881 to Rs 44,701 per 10 gram in the national capital on Thursday following a sharp recovery in global precious metal prices. Silver also gained Rs 1,071 to Rs 63,256 per kg.

Trading strategy

“We expect gold prices to trade sideways to up for the day with COMEX gold support at $1,710 and resistance at $1,740 per ounce. MCX Gold June futures support lies at Rs 44,500 and resistance at Rs 45,100 per 10 gram,” said Tapan Patel, Senior Analyst (Commodities), HDFC Securities.

Global markets

Spot gold was flat at $1,728.60 per ounce, as of 0146 GMT. Gold futures edged up 0.1 per cent to $1,729.50 per ounce.

Money managers in the gold, silver and copper markets cut their net long futures and options positions in the latest week, according to data from the Commodity Futures Trading Commission.

Silver rose 0.2 per cent to $25.01, while platinum climbed 0.4 per cent to $1,214.03 and palladium was trading flat at $2,666.43.

About Author

Related posts