Fundamental News and Triggers

Precious metals eye the Nonfarm payroll data for further direction.

• Following the release of the minutes from the Federal Reserve’s most recent meeting, gold and silver prices are consolidating, and market players are keeping their attention on impending economic data in search of additional hints regarding the direction of U.S. interest rates.
• The minutes from the October 28–29 meeting revealed that a divided Fed lowered interest rates last month despite warnings from officials that lower borrowing costs could jeopardise the effort to control inflation, which has been above the U.S. central bank’s 2% objective for four and a half years.
• The September U.S. non-farm payrolls report, which was postponed because of the recent U.S. government shutdown, is now the main focus. It is slated for later in the day. It is anticipated that the statistics will offer more clues about the Fed’s future course.
• According to CME Group’s Fed Watch tool, traders now perceive a nearly 33% possibility of a rate drop at the Fed’s December 9–10 meeting, down from 49% on Wednesday.

Technical Triggers 

• Gold has been trading in the range of $4000 (~Rs 121,000) and $4150 (~Rs 125,000). Buy on dips around support and sell on rallies around resistance.
• Silver has been trading in the range of $49 (~Rs 150,000) to $53 (~Rs 160,000). Buy on dips around support and sell on rallies around resistance.

 

 

 

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