New Delhi: Gold price forecasts have pencilled in scope for the yellow metal to touch and even cross $2,500 per ounce since the beginning of this year. Saxo Bank’s head of commodity strategy Ole S Hansen said gold prices will likely remain volatile with an upward bias. UBS analysts concur with this forecast with market dynamics indicating this, investing.com reported. Macroeconomic factors such as the Middle East conflict as well as the potential rate cuts by the US Federal Reserve, are expected to weigh in on the side of an upward trajectory for gold prices, according to UBS analysts.
The weaker US dollar coupled with a potential 25 bps rate cut in t3 cycles this year has boosted gold prices, they added. Despite a jump in net long positions on the US Comex, there is still scope before contracts touch historical highs. According to Saxo Bank’s commitments of traders report, gold bets jumped to 4.5-year highs last week. “Gold’s resilience remained on clear display with buyers adding back what they sold in the previous three weeks,” according to the report.
Gold prices to cross $3,000?
A US Fed rate cut may lead to panic buying, driving a surge in gold prices to $3,000 per ounce, the ET reported, citing Santosh Rao, head of research at Manhattan Venture Partners. He also attributed risks from the burgeoning US debt which requires taxes to go up. Gold demand is expected to remain elevated for another 1-2 years, he added.
Gold and silver prices today in India
Gold rates closed flat on Thursday at Rs 74,150 per 10 gm, according to the All India Sarafa Association. In comparison, silver prices jumped Rs 200 to Rs 87,200 per kg from Rs 87,000 per kg on Wednesday. Gold purity of 99.5 per cent was also flat at Rs 73,800 per 10 gm on Thursday.
Gold prices today
Morning gold rates per 10 gm
Afternoon gold rates per 10 gm
Gold 999
71719
71717
Gold 995
71432
71430
Gold 916
65695
65693
Gold 750
53789
53788
Gold 585
41956
41954
Silver 999
Rs 84913 per kg
Rs 84783 per kg
Comex gold rates slipped $9.70 per ounce to$2,537.80 per ounce and silver rates were down to $29.94 per ounce. All eyes will be on US Federal Reserve chairman Jerome Powell’s Jackson Hole symposium speech. The US Federal Open Market Committee (FOMC) meeting minutes showed that the US central bank may have arm room for a 25 bps rate cut after inflation rates showed a downtrend and unemployment seemed to rise.
Gold price forecast: The precious metal’s rates may yet rise further if the US Fed Reserve goes for deeper rate cuts, according to experts. Biz News Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
