FED minutes reveal that they are in no hurry to raise rates

Fundamental News and Triggers

  • Gold price attracts some haven flows in the wake of geopolitical tensions in the Middle East. Fighting between Israel and Hamas has shown no sign of abating despite diplomatic efforts by several countries, with the former warning of a potential ground invasion of Rafah where more than 1.5 million Palestinians are sheltering.
  • The uptick, however, lacks bullish conviction in the wake of firming expectations that the Federal Reserve (Fed) will keep interest rates higher for longer. Hawkish FOMC minutes remain supportive of elevated US bond yields and cap further gains.

Technical Triggers

  • Gold prices have rebounded from important support of $2000 (Rs 61400) and again heading higher towards the higher end of the range of $2050 (Rs 63000).
  • Silver prices have rebounded sharply from $22 (Rs 69000) towards $23 (Rs 71000). It seems a short-term low is in place and prices are heading towards $24 (Rs 73000).

Support and Resistance

 

 

 

Disclaimer: This report contains the author’s opinion, which is not to be construed as investment advice. The author, Directors, and other employees of Augmont Enterprise Private Ltd. and its affiliates cannot be held responsible for the accuracy of the information presented herein or for the results of the positions taken based on the opinions expressed above. The opinions mentioned above are based on information, which is believed to be accurate, and no assurance can be given for the accuracy of the information. The author, directors other employees and any affiliates of Augmont Enterprise Private Ltd cannot be held responsible for any losses in trading. In no event should the content of this research report be construed as an express or implied promise, guarantee or implication by or from Augmont Enterprise Private Ltd. that the reader or client will profit or the losses can or will be limited in any manner whatsoever. Past results are no indications of future performance. Information provided in this report is intended solely for informative purposes and is obtained from sources believed to be reliable. The information contained in this report is in no way guaranteed. No guarantee is implied or possible where projections of future conditions are attempted. We do not offer any sort of portfolio advisory, portfolio management or investment advisory services. The reports are only for information purposes and are not to be construed as investment advice.

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