Gold Prices Plummet Amid US Inflation Outcome

Bullion prices fell on August 14 due to profit booking by investors following a softer-than-expected US inflation outcome.

The COMEX gold futures traded 1.01% down to $4,375.60 per ounce, and silver 1.34% to $64.120 per ounce during the morning trade.

Jateen Trivedi, VP Research Analyst - Commodity and Currency at LKP Securities, said that the US CPI came in at 3.4%, broadly in line with expectations, leading to profit booking as the softer inflation outcome had already been largely priced into bullion during the recent rally.

Analysts estimate gold to remain in the Rs 1,52,000 to Rs 1,52,500 range, which acts as the key support zone, while Rs 1,55,500 to Rs 1,56,000 is seen as the immediate resistance range.