Gold and silver prices today: Yellow metal inches lower in the early trade, Silver slips 2.91% MTD

Gold prices opened on the Multi Commodity Exchange (MCX) on Monday at Rs 58,154 per 10 grams and hit an intraday low of Rs 58,111. In the international market, prices hovered around $1,917.24 per troy ounce. Meanwhile, silver opened at Rs 70,060 per kg and hit an intraday low of Rs 70,059 on the MCX. The price hovered around $22.75 per troy ounce in the international market.

Last Monday (26 June 2023), gold prices had opened at Rs 58,429 per 10 grams. In the international market, prices hovered around $1,925.92 per troy ounce. Silver opened at Rs 68,599 per kg on the MCX. The price hovered around $22.75 per troy ounce in the international market.

Anuj Gupta, Vice President of IIFL Securities, said, "Last week, gold prices corrected sharply and closed on a negative note. However, silver prices increased and closed positively. MCX gold corrected by 0.21% and closed at 58175 levels. In the international market, it is trading at $1919 levels per ounce. MCX Silver increased sharply by 2.84% and closed at 70020 levels. In the international market, it is trading at $22.74 levels per ounce. Last, with robust U.S. economic data pressure on precious metals, it also supports industrial and energy prices. Robust data indicates that economies are reviving and the demand for industrial metals and energy demand may increase."

For the next week, gold has strong support at 57800 levels ($1900) and then 57500 ($1880) levels, while resistance is at 59500 ($1935) and then 59800 ($1950) levels. Traders can buy gold around 57800 to 57900 levels with a stop-loss of 57500 for the target of 59500 and 59800 levels. Silver has strong support at 69000 levels ($22) and then 67500 levels ($21), while resistance is at 71500 levels ($23.50) and then 73000 ($24) levels. Traders can buy silver around Rs 69,000 levels with a stop loss of Rs 67,500 levels for the target of Rs 71,500—72,000 levels in the near term.

Gold

YTD 5.83%, 3203 levels

MTD -3.44%, -2072 levels

Silver

YTD 0.94%, 650 levels

MTD -2.91%, -2100 levels

Manav Modi, Analyst, Commodity and Currency, MOFSL, "Gold price inched lower in the early morning trade, helped by a slightly stronger U.S. dollar and U.S. Yields, with chances of more interest rate hikes by the Federal Reserve weighing on bullion’s appeal. The dollar index was steady near a two-week high, and U.S. Yields inched higher from ~3.6 to ~3.9 levels."

U.S. consumer spending stagnated in May on Friday, while the Fed’s preferred core PCE price index, excluding food and energy, increased 4.6% on a year-on-year basis in May after advancing 4.7% in April, slightly supporting the safe-haven metals.

"Investors see an 84% chance of a 25-basis-point hike in July, according to CME’s Fedwatch tool, pricing in another 25 bps rate hike in November, bringing rates into the 5.5%-5.75% range. It is a holiday-shortened week as U.S. will be shut for two days, on the back of U.S. independence day. Over in the U.S., the Institute of Supply Management’s (ISM) nationwide PMI reading is expected. Investors this week will also watch minutes of the June 13-14 FOMC meeting," said Modi.