Fundamental News and Triggers
- Gold price sees profit-booking and retracement after the release of Inflation figures which came in lower than expected, up at 3.2% YoY against the expectation of 3.1%.
- The likelihood that the Federal Reserve would begin lowering interest rates at the June policy meeting is still factored into the markets, though. This helps limit the downside for the price of gold by keeping a lid on US bond rates and the value of the US dollar.
- Amidst geopolitical uncertainties and anticipations of a potential worldwide economic downturn in 2024, traders were hesitant to make aggressive bearish bets on the safe-haven commodity of gold. Ahead of next week’s pivotal FOMC monetary policy meeting, investors may also decide to stay away.
Technical Triggers
- As stated before, gold has touched the target of $2200. Now we could see some profit-booking and retracement towards $2150 (~Rs 65000) before the prices could see another runup.
- Silver prices almost touched the target of $25 (~Rs 75000), as stated before. Now prices are seeing profit-booking and retracement towards $24 (~Rs 72500).
Support and Resistance
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