Gold Price Today, 8 July 2021: Yellow metal falls for first time in 6 days as US Dollar nears 3-month high

Lower US treasury yields and worries over the rise in new virus cases due to the more virulent Delta variant are keeping gold prices steady, said an analyst. Representative image

Gold Price Today, Gold Price Outlook, Gold Price Forecast: Gold prices in India saw a gap-down opening for the first time in six trading sessions on Thursday, even as yellow metal in the international market remained steady. On Multi Commodity Exchange, gold August futures were trading Rs 171 or nearly half a per cent lower at Rs 47,739 per 10 gram. In the previous session, gold prices settled in the green supported by steady dollar and fall in 10-year treasury yields to levels not seen since February. Silver September futures, too, fell Rs 458 or 0.7 per cent to Rs 68,907 per kg, as against the previous close of Rs 68,365 per kg. Globally, yellow metal held steady on Thursday as lower US Treasury yields countered a stronger dollar after minutes from the Federal Reserve’s last meeting showed that the central bank is moving towards tapering its asset purchases as soon as this year, according to Reuters. Spot gold was little changed at $1,803.01 per ounce. US gold futures edged 0.1 per cent higher to $1,804.30 per ounce.

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Ravindra Rao, CMT, EPAT, VP- Head Commodity Research, Kotak Securities

COMEX gold trades marginally lower near $1797/oz after a 0.4% gain yesterday. Gold is pressurized by firmness in the US dollar as FOMC minutes added to uncertainty about Fed’s monetary tightening. Also weighing on price is continuing ETF outflows. However, supporting price is renewed virus concerns and uneven global economic recovery. Gold may remain sideways to lower as diverging monetary policy stance of Fed and other central banks may keep US dollar supported.

Hareesh V, Research Head Commodities, Geojit Financial Services

Lower US treasury yields and worries over the rise in new virus cases due to the more virulent Delta variant are keeping gold prices steady near $1800 an ounce. Meanwhile, a strong US dollar and optimistic global economic sentiment continue to dampen its safe asset appeal. On the technical front, prices continue to be choppy inside $1820-1748 levels and breaking any of the sides would suggest a short-term direction for the commodity. Anyhow, a close below $1745 is a bearish signal for the metal.

NS Ramaswamy, Head of Commodities, Ventura Securities

Today, we expect the MCX Gold Aug prices to trade with positive bias. Immediate strong support is seen at 47,600 level which is 100 EMA level on daily chart. We may see prices heading upwards as long as prices hold above this level. On the upside, prices need to close above 48,000 level on hourly closing basis. Breaking above this level, we may see prices heading towards 48,500 level for intraday. MCX SILVER Sep prices are holding above the key support level on weekly chart. For intraday, prices will face resistance near 69,700 level which is 20 MA level on hourly chart. Breaking above this level on hourly closing basis, we may see prices heading towards 71,000 level for intraday. On the Comex front, Gold prices are facing resistance at $1820/ounce. Breaking above this level, we may see quick upside towards $1840/ounce for intraday. Immediate resistance is at $26.50/ounce. Breaking above this level we may see quick upside towards $27.00/ounce level.

Amit Khare, AVP- Research Commodities, Ganganagar Commodities

Technically, August gold futures bulls and bears are on a level overall near-term technical playing field and the bulls have some momentum. A four-week-old price downtrend on the daily bar chart has been negated this week. Bulls’ next upside price objective is to produce a close above solid resistance at $1,850.00. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at the June low of $1,750.10. First resistance is seen at this week’s high of $1,815.70 and then at $1,825.00. First support is seen at today’s low of $1,794.10 and then at this week’s low of $1,784.70.

Sandeep Matta, Founder, TRADEIT Investment Advisor

The perceived optimistic tone of FOMC’s minutes has helped gold to close above $1800 an ounce after three weeks of sideways consolidation. Central bank buying and higher energy prices are offering bullish tailwinds to precious metal more particularly gold which is also known as inflation hedge commodity. Technically, the sentiments are bullish for the gold and after cross the $1814 level it will reach to $1835-$1850 in no time. Gold on MCX also traded firm on global clues and closed almost around the day high levels. Market participants can expect fireworks in prices after it start trading above 48000 levels.

Key level for GOLD AUG Contract – 47855
Buy Zone Above – 47900 for the target of 48050-48300
Sell Zone Below – 47850 for the target of 47710-47575

(The views in this story are expressed by the respective experts of research and brokerage firm. Financial Express Online does not bear any responsibility for their advice. Please consult your investment advisor before investing.)

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