Gold, Silver Prices Seen Range-Bound Ahead of Key Economic Data

Gold and silver prices are expected to remain range-bound this week as market participants await key economic data releases from the US, including the non-farm payrolls report. Traders will also focus on the purchasing managers' index (PMI) data from major economies such as the US, UK, Eurozone, and Japan.

The stability of crude oil supplies through key shipping routes will continue to influence market sentiment, with developments surrounding the US-Iran conflict remaining a concern. Analysts predict that MCX gold prices will trade in the Rs 1.40-1.44 lakh per 10 grams range, pending US macroeconomic data and evolving expectations around the Federal Reserve's policy path.

In the domestic market, gold futures for August delivery fell by Rs 1,595, or 1.1 per cent, last week to settle at Rs 1.41 lakh per 10 grams on the Multi Commodity Exchange. Similarly, silver futures for the September contract declined Rs 4,940, or 2.2 per cent, to close at Rs 2.17 lakh per kilogram.

According to Jateen Trivedi, VP Research Analyst - Commodity and Currency, LKP Securities, gold remained volatile last week and ended on a weaker note, with MCX Gold declining by over 1 per cent as prices continued to consolidate within a broad trading range. The weak US dollar and sharp correction in crude oil prices failed to attract significant buying interest in gold, indicating cautious investor sentiment.