Fundamental News and Triggers

Rupee breaks 90 mark, supporting the precious metal rally.

• The Indian rupee fell over the psychologically important 90 per US dollar threshold today, prolonging weakness in trade and capital flows, combined with concerns about a missed trade deal with Washington, keeping the currency under pressure.
• Gold and silver continue to rise as recent data indicates a gradual cooling of the US economy, combined with dovish signals from Fed policymakers, has bolstered market expectations for a 25-basis-point rate cut at the US central bank’s meeting next week, with traders pricing in an 89% chance of the move.
• According to the World Gold Council, central banks purchased 53 tons of gold in October, a 36% monthly increase and the most monthly net demand since the beginning of 2025.
• Investors are also monitoring November ADP employment report on Wednesday and the delayed September PCE Index, coming Friday, which is the Fed’s favored inflation barometer. Non-yielding gold usually benefits from lower interest rates.

Technical Triggers  

• Gold has started its upward journey again; next target is $4300 (~Rs 132,000) and $4345 (~Rs 133,500) with strong support at $4200 (~Rs 129,000).
• Silver can continue its rally towards $60 (~Rs 185,500) and $62 (~Rs 191,000), with firm support at $57 (~Rs 177,000), if tight supply conditions continue

 

 

 

 

 

 

 

 

 

 

 

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