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Gold and Silver rate today (May 30, 2024): Domestic precious metal futures traded under pressure on Thursday as traders assessed remarks from policymakers and awaited US inflation data that may influence the timing of the Federal Reserve’s much-anticipated pivot to monetary easing. MCX gold futures (Jun 5) were down 0.57 per cent or Rs 413 at Rs 71,780 per 10 grams at the last count. Meanwhile, MCX Silver futures (July 5) were up Rs 2,014 or 2.09 per cent at Rs 94,148 per kg.
Gold prices recently faced strong resistance in the range of $2,340-$2,350 in Comex and ₹72,200-₹72,500 in MCX. Indications of “higher for longer” interest rates boosted the dollar, which rose above 105, putting pressure on gold prices and leading to profit booking and increased volatility. The upcoming PCE price index release on Friday is expected to be a key trigger for price movements, as inflation remains a significant concern. According to Jateen Trivedi, VP Research Analyst – Commodity and Currency, LKP Securities, market situations are causing increased pressure on gold prices and volatility.
Praveen Singh, Associate VP, Fundamental Currencies and Commodities at Sharekhan by BNP Paribas, highlighted that major US data, including Q1 GDP (second estimate) and pending home sales for April, are expected to affect gold prices. Singh sees support for the yellow metal at $2321/$2300 and resistance at $2354/$2375. He added gold may trade with a bearish bias ahead of the US GDP data.
Another expert, Neha Qureshi, Senior Technical & Derivative Research Analyst at Anand Rathi Commodities & Currencies, recommended selling gold June futures on rise at Rs 72,100 with a target price of Rs 71,500, indicating potential downward movement in prices. For silver July futures, she suggested selling on the rise at Rs 94,800 with a target of Rs 92,800.
Looking to external factors, the increasing demands for industrial uses, especially focusing on green technologies like electric vehicles and renewables, contribute to the surge in prices of metals like copper and silver. Additionally, geopolitical tensions and political uncertainties globally are also influencing the movements of precious metals. With upcoming reports on inflation, Federal Reserve meetings, and geopolitical updates, gold and silver prices in India today (June 1, 2024) may exhibit fluctuating trends influenced by these factors.
