Internationally, gold futures fell 0.11%, trading at $2,645.69 an ounce in New York.
The recent rise in US Treasury bond rates and the strengthening of the US dollar, which crossed the 103 mark for the first time since August, are key factors weighing on the situation. gold prices.
Renisha Chainani, head of research at Augmont Gold For All, said: “Several factors are putting downward pressure on gold prices, including traders tempering expectations for a significant interest rate cut by the Federal Reserve. United States in November.”
“The US Federal Reserve is expected to ease its monetary policy with a 25 basis point cut, but the market is no longer counting on a more aggressive reduction,” Chainani added.
Geopolitical tensions also play a role.
Following Hezbollah’s attack on an Israeli army base, which escalated military tensions in the region, precious metals found some support due to increased risk aversion.
Limited range market expected
With mixed foundations, gold It is expected to trade in a narrow range in the short term.
Chainani predicts that gold will fluctuate between $2,645 per ounce (approximately Rs 75,500 per 10 grams) and $2,685 per ounce (Rs 76,500 per 10 grams).
Jateen Trivedi, vice president of research and commodity and currency analyst at LKP Securities, shared a similar perspective: “Investors are awaiting a key economic event on Thursday (October 17), and China’s planned stimulus package is also adding uncertainty”.
And he added: “Gold profits during periods of uncertainty, and we see strong base support between $2,600 per ounce and $2,580 per ounce on Comex. However, resistance is expected between $2,675 per ounce and $2,690 per ounce.”
Investment considerations
Gold remains a safe haven asset, especially in times of geopolitical tension and uncertainty in financial markets.
However, the near-term outlook is likely to be range-bound, driven by current global economic factors.
In the long term, gold’s appeal during periods of risk aversion ensures that it remains a solid investment option, even in volatile markets.
Disclaimer:
The information contained in this post is for general information purposes only. We make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability or availability with respect to the website or the information, products, services, or related graphics contained on the post for any purpose.
We respect the intellectual property rights of content creators. If you are the owner of any material featured on our website and have concerns about its use, please contact us. We are committed to addressing any copyright issues promptly and will remove any material within 2 days of receiving a request from the rightful owner.