Gold and Silver Price Today: Gold and silver prices witnessed mild profit-taking on Monday as global markets turned cautious ahead of the US Federal Reserve’s monetary policy meetings.
A rebound in the US 10-year bond yields and uncertainty around upcoming inflation data also contributed to weakness in precious metal prices.
International and Domestic Market Trends
In the international market, gold February futures settled at $4,217.70 per troy ounce, down 0.60 per cent, while silver March futures closed at $58.406 per troy ounce, lower by 1.10 per cent.
Domestic markets followed a similar trend. On MCX, gold February futures closed at Rs 1,29,662 per 10 grams, slipping 0.38 per cent, and silver March futures settled at Rs 1,81,742 per kg, down 0.91 per cent.
Profit Booking Ahead of FOMC
According to Manoj Kumar Jain, “Gold and silver show mild profit taking ahead of the FOMC meetings and rebound in the US 10-year bond yields. Trend is volatile.”
He added that both metals also reacted to reports stating that the US Producer Price Index (PPI) data for October and November, expected this week, has now been pushed for release in January.
“Uncertainty on the inflation numbers increases worries that the US Fed could deliver hawkish commentary in its monetary policy meetings,” he said.
Supportive Factors in Precious Metals
However, certain supportive factors remain in play. Jain highlighted that the Chinese central bank added gold for the 13th consecutive month, and ongoing physical delivery shortages in silver could provide a floor to prices in the near term.
Weekly Trading Range Outlook
In the international market, Jain expects gold to hold key support at $3,960 per troy ounce, while silver is expected to find support near $54.40 per troy ounce.
For the week, he projects gold to trade between $3,960 and $ 4,380, and silver between $54.40 and $ 62.80, amid volatility in the dollar index and global financial markets ahead of the Fed meeting.
Daily Support and Resistance Levels
For the day, Jain noted support for gold at $4,200–4,164 and resistance at $4,250–4,288, while silver holds support at $57.70–57.00 with resistance at $59.00–59.80.
MCX Levels and Trading Strategy
On MCX, gold has support at Rs 1,29,100–1,28,600 and resistance at Rs 1,30,300–1,31,000. Silver has support at Rs 1,80,000–1,78,400 and resistance at Rs 1,83,300–1,85,100.
“We suggest buying gold around Rs 1,29,500 with a stop loss of Rs 1,28,800 for a target of Rs 1,31,000 and buying silver around Rs 1,80,000 with a stop loss of Rs 1,76,500 for a target of Rs 1,87,000,” Jain said.