Trump's tariffs send gold soaring to new peak, yellow metal tops Rs 86,000/10 gm mark
Experts predict volatility ahead. Gold and silver have key support and resistance levels, with buy recommendations for silver. Gold April futures contracts on MCX continued their massive rally, surging above the Rs 86,000/10 gram level. The yellow metal opened higher on Tuesday at a new all-time high of Rs 86,350 per 10 grams, up by 0.62% or Rs 534.
Meanwhile, silver
March futures contracts were trading at Rs 95,373/kg, up by 0.08% or Rs 72.
On Monday, gold and silver settled on a mixed note in the domestic market and
on a positive note in the international markets. The mixed sentiment in the
domestic market persisted despite a weaker rupee.
Gold April futures contract settled at Rs 85,816 per 10 grams with a gain of
1.09% while silver March futures contract settled at Rs 95,295 per kilogram
with a loss of 0.04%.
Gold and silver prices gained in the international markets and gold prices hit
record highs amid global uncertainty and safe-haven buying. The US President’s
comment for imposing 25% tariffs on import of steel and aluminium and increased
global trade worries and investors are moving towards safe-haven assets.
“Gold
prices also gained after China started a pilot program that allowed insurers to
buy gold for the first time and that move could free up to $27 billion of
funds. Gold prices are moving towards $3,000 per troy ounce levels. However,
the dollar index also gained and crossed 108 marks and could limit gains of
precious metals,” said Manoj Kumar Jain of Prithvifinmart Commodity Research.
Today, the US Dollar Index, DXY, was hovering near the 108.46 mark, gaining
0.14 or 0.13%.
“We expect gold and silver prices to remain volatile this week amid volatility
in the dollar index and the US trade war and ahead of the US Fed Chairman’s
testify,” Jain added.
Source: https://economictimes.indiatimes.com/