Gold and silver prices faced renewed selling pressure after the latest US inflation data showed stronger-than-expected figures. This raised concerns about further monetary tightening by the Federal Reserve. December gold futures dropped toward $4021 per ounce, while December silver futures fell to around $51.200 per ounce.
The recent decline may encourage profit-taking in both precious metals, but the sharp correction could also present fresh buying opportunities at lower levels.
A cautious "buy on dips" strategy is recommended for both gold and silver. For gold, the suggested buying range is $4015 to $4025 per ounce, with targets set at $4070, $4080, and $4100. For silver, the buying range is $51.000 to $51.200 per ounce, with targets at $53.000, $53.500, and $54.000.
Market volatility is expected as investors assess US inflation trends, Federal Reserve interest rate expectations, the US dollar, and bond yields. Traders are advised to avoid chasing rallies and look for selective buying opportunities near the suggested levels.