Gold and Silver Prices to Remain Positive Amid Inflation Data Awaits
Gold and silver prices are expected to retain their upward momentum next week as investors await key US inflation data, analysts said. The upcoming release of US Core Personal Consumption Expenditures (PCE) inflation and GDP figures will be crucial for bullion prices. Additionally, developments surrounding West Asia geopolitics, particularly the US-Iran peace deal and reopening of the Strait of Hormuz, will remain in focus.
According to Pranav Mer, Senior Vice President at EBG - Commodity & Currency Research, JM Financial Services Ltd, some profit-booking may temper the rally at higher levels. However, he expects a positive bias for bullion prices in the coming trading session.
The domestic gold market saw significant gains this week, with gold futures for October delivery gaining Rs 7,932 (5.13%) to close at Rs 1.62 lakh per 10 grams on the Multi Commodity Exchange (MCX). Silver for September delivery surged Rs 10,673 (4.52%) to settle at Rs 2.46 lakh per kilogram.
In international markets, Comex gold futures for December delivery rose USD 243.3 (5.5%) to close at USD 4,680.6 per ounce, while silver futures for September delivery climbed USD 4.42 (nearly 7%) to USD 69.53 per ounce in New York.
The Jackson Hole symposium, scheduled for August 27-29, will also be closely watched by bullion traders, with Federal Reserve Chair Kevin Warsh set to deliver his first keynote address at the event.