Gold Price Today, 25 Aug: Gold prices to trade sideways; US GDP data, Powell’s Jackson Hole event speech eyed
Gold Price Today, Gold Price Outlook, Gold Price Forecast: Gold prices were trading higher in India on Thursday, as the yellow metal gained in global markets. On Multi Commodity Exchange, gold October futures were up Rs 181 or 0.4 per cent to Rs 51,620 per 10 gram, as against the previous close of Rs 51,439. Silver December futures were ruling Rs 442 or 0.8 per cent up, at Rs 56,450 per kg. Globally, yellow metal prices edged higher as the dollar slipped, while investors looked forward to a speech by U.S. Federal Reserve Chair Jerome Powell at the Jackson Hole symposium for clues on interest rate hikes and the health of the economy, according Reuters. Spot gold was 0.1% higher at $1,753.01 per ounce, while U.S. gold futures were up 0.3% at $1,766.
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Gold and silver prices edged higher in the early morning trade, after a sharp fall witnessed since the start of the week, as the dollar slipped, while investors looked forward to a speech by the U.S. Federal Reserve Chair Jerome Powell at Jackson Hole symposium for clues on interest rate hikes and health of the economy. The dollar ticked 0.2% lower, hovering near 108.40 levels; while U.S. 10-year Treasury yields held near multi-week highs hit in the previous session. Investors are bracing for the Fed to take action on its commitment to crush inflation, and expect Governor Powell at the annual central bank gathering in Wyoming this week to deliver an aggressive tightening message. Fed officials in their speech last week also had an hawkish stance and increased expectations for a third 75 bps rate hike this year. After weak preliminary Manufacturing and Service PMI data, new orders for U.S. manufactured capital goods increased in July, but the pace slowed from the prior month. Today the focus will be on U.S. GDP and weekly jobless claims data. Broader trend on COMEX could be in the range of $1735-1775 and on domestic front prices could hover in the range of Rs 51,200-52,000.
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Rahul Kalantri, VP — Commodities, Mehta Equities
On Wednesday, gold and silver ended on a mixed note. Gold futures recovered from early losses to finish a bit higher, with prices holding above $1,760 per ounce ahead of Federal Reserve Chairman Jerome Powell’s speech later this week at the Jackson Hole economic symposium. Bullion has been edging higher over the past few sessions after a six-day run of losses that pushed it to a three-week low on Monday. However, the U.S. 10-year bond yields gained and crossed the 3.10% mark once again. On the other hand, silver prices struggled due to downbeat U.S. economic data. The U.S. durable goods orders saw a growth of 0.0% in July against an expected growth of 0.9% and it was 2.0% in June. New home sales data released on Tuesday was also disappointing and restricted gains of silver. We expect gold and silver prices to remain volatile in today’s session ahead of the Jackson Hole symposium. Gold has support at $1746-1731, while resistance is at $1770-1781. Silver has support at $18.78-18.55, while resistance is at $19.22-19.40. In INR terms gold has support at Rs 51,050–51,240, while resistance is at Rs 51,620–51,780. Silver has support at Rs54,350-53,640, while resistance is at Rs 55,680–56,010.
Ravindra Rao, CMT, EPAT, VP- Head Commodity Research, Kotak Securities
COMEX gold trades modestly higher near $1770/oz supported by weakness in the US dollar and pause in US bond yields as market players position for Fed Chairman’s comments at the Jackson Hole Symposium. With mixed US economic data showing signs of stress in the economy, market players are assessing if the Fed may take a less hawkish stance. Gold is also supported by global growth worries, inflation concerns and geopolitical issues. Gold has stalled near $1750/oz level after recent sell-off and edged up however sharp gains are unlikely as Fed is largely likely to maintain a hawkish stance
Tapan Patel, Senior Analyst — Commodities, HDFC Securities
Gold prices traded firm on Thursday with COMEX Spot gold prices were trading 0.24% up near $1756 per ounce in the morning trade. MCX Gold October futures opened higher near Rs. 51610 per 10 gram in line with strong COMEX prices. Gold prices recovered with dollar decline and weak US economic data. The traders and investors are awaiting comments from the FED chair from the Jackson Hole symposium over future courses. We expect gold prices to trade sideways to up for the day with COMEX Spot gold support at $1740 and resistance at $1770 per ounce. MCX Gold October support lies at Rs. 51200 and resistance at Rs. 51800 per 10 gram.
(The views in this story are expressed by the respective experts of the research and brokerage firm. Financial Express Online does not bear any responsibility for their advice. Please consult your investment advisor before investing.)
