Fundamental News and Triggers

• Gold and Silver prices are still firm and fluctuating in the same range as Federal Reserve Governor Michelle Bowman stated that she is not in a hurry to decrease interest rates, citing inflation risks that might block progress or reignite price pressures.
• GDP for the fourth quarter of 2023 was announced at 3.2% YoY, somewhat lower than the preliminary estimate of 3.3%.
• Interest rate speculators have already priced in a Fed rate cut in March and May. The probability of a 25-basis point rate drop in June is 49.7%. Investors are factoring in 85 basis points of easing for 2024.

Technical Triggers

• Gold prices have continued to trade in the range of $2000 (Rs 61200) to $2060 (Rs 62600) in the last month. Prices need a solid trigger to give either side a breakout.
• Silver prices have seen a sharp sell-off in domestic markets in the wake of falling discounts in domestic markets. As prices have been trading rangebound for the last two months. Strong support lies at $22.50 (Rs 69000).

Support and Resistance

 

 

 

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