Gold price jumps after US CPI data, FOMC minutes. Silver price today crossed ₹76,000

silver price hit today 76,000 per kg level on MCX and gained 0.37 per cent within a few minutes commodity market Opening today. Today, the price of silver in the international market is at the level of $ 25.47 per ounce.

According to commodity market watchers, both gold and silver prices are trading higher today following better than expected US CPI data following banking crisis in the US and recessionary start by US Fed. He further added that US dollar rates are under pressure and it may move further down towards 98 levels after breaking its support placed near 100 levels. Experts say that all these fundamentals are going to further fuel gold and silver prices and any fall in bullion should be taken as a buying opportunity by gold investors.

trigger for gold price rally

Speaking on the reasons behind the rise in gold, silver prices today, Anuj Gupta, Vice President – Research at IIFL Securities Said, “US CPI data for March 2023 on Wednesday came in print at 5 per cent as against market expectation of 5.10 per cent. Also, US Fed has expressed concern over economic slowdown in US due to banking crisis in the country, which is expected in near future.” Also going to support bullion.”

The IIFL Securities expert further said that gold price is facing immediate resistance near $2,030 per ounce today and once it closes above $2,030, it could witness a strong upside rally. He added that after breakout of $2,030, gold can expect gold to climb closer to its all-time high of $2,075. Similarly, silver price is facing resistance near $26 level today and once it breaks and sustains above this level, we can expect it to move towards its recent highs around $30. Will come closer to the dollar per ounce level.

“On MCX, if gold price crosses its immediate resistance 61,800, we can expect the yellow metal to take a hit 63,000 level in the near term. Similarly, if the price of silver remains above 76,000 then we can expect the white metal to go above Anuj Gupta of IIFL Securities said, Rs 78,000 per kg level in the near term.

INR vs USD

Anuj Gupta of IIFL Securities further said that weakness in US dollar is expected to increase gold prices in the international market, while weakness in Indian national rupee (INR) is going to support gold prices in the domestic market. Hence, both international and domestic triggers favor an upside move in gold and silver prices.

Anuj Chowdhary, Research Analyst, Sharekhan by BNP Paribas said, “The Indian Rupee is expected to trade with a slight downside bias on Monsoon concerns following Skymet’s forecast of below normal rainfall.” Any upside in the US dollar amid rate hike expectations and positive crude oil prices could also put pressure on the rupee. However, a positive domestic market and fresh FII inflows may support the rupee at lower levels. Investors can wait for CPI and FOMC minutes from US. Traders can keep an eye on India’s Industrial Production and CPI inflation data, USDINR spot price is expected to trade in a range from 81.50 82.70 in the near term.

disclaimer: The views and recommendations given above are of individual analysts or broking companies and not of Mint. We advise investors to do due diligence with certified experts before making any investment decision.