Bullion prices hammered on hawkishness from Central banks

Fundamental News and Triggers

As FED and ECB raised 25 bps last week, BOE is expected to hike by 50 bps (15year highInterest rates) to combat high inflation of 7.9%.


Dollar Index has risen 3% in the last 15 days, on strong US economic data. Gold and Silver prices are getting hammered on dollar strength. Nonfarm payroll data tomorrow give set the further direction for prices.

Even though Fitch’s lowering of the U.S. sovereign rating caused risk aversion in other financial markets, the yellow metal didn’t see much demand as a safehaven. The decision was more driven by worries about fiscal spending that was out of control and political conflict over policy.

Technical Triggers

Gold is trading in the range of Rs 59000 and Rs 60300, either side breakout will set further direction.

Silver has broken important support of last week of Rs 73400, now prices are expected to downslide to 70400

Support and Resistance




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