Gold and silver prices today: Yellow metal holds steady after nursing a sharp fall away from record highs

Gold opened on the Multi Commodity Exchange (MCX) on Wednesday at Rs 61,196 per 10 grams and hit an intraday low of Rs 61,085. In the international market, prices hovered around $ 1,974.10 per troy ounce.

Meanwhile, silver opened at Rs 71,745 per kg, hit an intraday low of Rs 71,500 on the MCX, and hovered around $22.64 per troy ounce in the international market.

Manav Modi, Analyst, Commodity and Currency, MOFSL, said, “Gold prices held steady after nursing a sharp fall away from record highs, despite an ease off in US inflation data and Dollar index.”

The headline US CPI rate edged lower to 3.1%, in line with expectations and marginally below October’s 3.2% rate, supporting metal prices. However, a slight uptick was seen in US core inflation last month, bolstering arguments by the US Federal Reserve that interest rates may need to remain on hold for months to come.

It was also seen that the super core cpi rose to one of the fastest monthly paces this year, decreasing bets for an early rate cut next year.

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Modi said, "Bets for a pause in the December Fed meeting, i.e. scheduled tomorrow, is at 97%, while the probability for a pause in March eased lower to 40%, weighing on billions. Focus is now squarely on the two-day Federal Open Market Committee (FOMC) monetary policy meeting, along with the action Governor Powell's stance, comments and economic forecast will be very important to keep an eye on."

Amit Khare, Associate Vice President at GCL Broking, said, "MCX Gold and Silver gave mixed closing yesterday. February Gold closed at 61181(+0.10%), and March Silver closed at 71862(-0.002%). As per the daily chart, Bullions are looking under pressure, showing some more correction. Traders are advised to make fresh short positions in Gold and Silver near the given resistance level one with the stop loss of resistance level two and book near given support levels: Gold February Support 61000/60800 and Resistance 61400/61700. Silver March Support 71400/70600 and Resistance 72200/73100.”