Yellow metal trades higher; buy for a target of Rs 47,850, say experts

Yellow metal trades higher; buy for a target of Rs 47,850, say experts

By Administrator_India

Capital Sands

India Gold MCX June futures rose on Monday tracking positive trends seen in the international spot prices supported by a soft dollar ahead of the U.S. Federal Reserve policy meeting this week.
On the Multi-Commodity Exchange (MCX), June gold contracts were trading higher by 0.11 percent at Rs 47,584 for 10 grams at 0935 hours. May silver futures were trading 0.02 percent higher at Rs 68,730 a kilogram.
On Friday, gold and silver prices settled on a weaker note in the international markets. Gold June futures contract settled at $1,776.75 per troy ounce, down by 0.29 percent and silver May futures contract was settled at $26.04 per troy ounce, down by 0.54 percent.
Due to strength in the rupee domestic markets were also settled on a weaker note. Gold June futures contract settled at Rs47,532 per 10 grams, and Silver May futures contract settled at Rs68,674 per kilogram.
Gold and silver prices dipped on Friday on strong U.S. economic data. U.S. flash manufacturing PMI reading comes at 60.7 against expectations of 59.0 and services PMI also reported at 60.1 against expectations of 58.9.
  • COMEX gold trades little changed near $1778/oz after a 0.2% decline on Friday. Gold is struggling to break past the key $1800/oz level. Support from the weaker US dollar, rising virus cases, and loose monetary policy stance of major central banks is countered by some upbeat economic readings, general progress on vaccination, and weaker investor interest.
  • Gold may remain choppy ahead of the Fed decision however general bias is still positive amid persistent weakness in the US dollar.

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