Gold Trade

A break below $4,100 would expose further downside toward the $3,960 to $4,000 zone. Until that turn materialises, near-term price action is likely to remain driven by the rate market.

Gold falls ₹1,400 to ₹1.486 lakh per 10g in Delhi as weak local demand and a stronger US dollar weigh on prices

Praveen Singh of Mirae Asset Sharekhan said that Hormuz optimism can keep gold supported in the very short term. Upside is likely to be limited to $4330 unless more clarity emerges on US-Iran talks.

Gold may rise to test the resistance zone of $4520-$4535. However, oil prices rising further will pose a downside risk to this possibility.

Gold rebounds after three days of losses as lower oil prices ease inflation concerns and Treasury yields retreat

In August, Treasury more than doubled its bond repurchase operations from $2 billion to at least $4 billion per operation

North American demand, according to the report, was relatively modest early in the month before accelerating sharply during the week of 17 August when funds added roughly $4 billion.

The CME FedWatch tool signals that market participants are pricing in a 58 per cent chance of a hike, as against 45 per cent a month ago.

Global gold ETFs recorded 23.5 tonnes of inflows in July, reversing two straight months of outflows.

Mirae Asset expects gold to find good support in the dips. After a brief consolidation, it is expected to test resistance at $4,500. Support is at $4,300/$4,200-$4,220.

Praveen Singh, Head of Commodities at Mirae Asset Sharekhan, said elevated expectations of a Fed rate hike are bearish for the metal, but the downside is expected to remain limited

Already in the bear territory after receding 27% from its record high level, analysts foresee further decline in gold prices of up to 16% to $3400-3500 levels.

A firmer dollar, rate hikes by central banks, ETF outflows, and elevated yields are likely to keep the yellow metal under pressure. China's demand is not too strong either

In the international market, Gold fell on Wednesday, as oil prices ‌rose on renewed hostilities between the US and Iran, fuelling concerns about inflation and interest rate hikes.

Gold ETF flows remain uninspiring, as investors continue to be deterred by elevated volatility and the prospect of higher interest rates

Gold's trajectory continues to depend on oil prices as traders remain fixated on rate moves. High oil prices are supporting the US Dollar and increasing the probability of rate hikes

Rising real yields alongside a firmer dollar have together stripped two of gold's most consistent supports simultaneously

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A day after significantly increasing the import duty on precious metals, the government on Thursday imposed a limit of 100 kg on gold imports under the Advance Authorisation scheme, which allows jewellery exporters to import raw or input materials at zero duty. The government has tighetend conditons for the issuance and monitoring of advance authorisation for import of gold. Earlier, there was no limit on gold imports under the scheme. The Advance Authorisation scheme allows the duty-free import of inputs that are incorporated into an export product. In addition to any inputs, packaging material, fuel, oil, and catalyst that are consumed or utilised in the process of production of export product, are also allowed. "AA for import of gold shall be issued, subject to a maximum remissible quantity of 100 kilograms," the DGFT said in a public notice. It added that in case of application for Advance Authorisation by a first-time applicant, a mandatory physical inspection of the applicant

Gold and silver may face some selling pressure this holiday-shortened week as traders track peace talks between the US and Iran, crude oil rates and the Federal Reserve's policy decision, analysts said. Domestic commodity markets would remain closed on Friday on account of Maharashtra Day. "Focus in the coming week will remain on the progress in peace talks between the US and Iran, and their potential impact on oil, gold, and broader financial markets," Pranav Mer, Vice President, EBG - Commodity & Currency Research, JM Financial Services Ltd, said. On the macroeconomic front, traders will monitor monetary policy decisions from the US Federal Reserve, Bank of Japan, Bank of England and European Central Bank. Besides this, key US data on housing, Personal Consumption Expenditures (PCE) inflation and consumer confidence, along with factory activity numbers from major economies later in the week, will also guide sentiment, he added. Analysts said the April 29 Federal Open Market ...