Volatility Ahead: Gold, Silver Prices Braced for Fresh Turmoil in September
Gold and silver prices have taken a sharp correction in recent times, wiping out more than Rs 6,000 from gold prices. As a result, bullion markets are bracing for fresh volatility in September, with traders closely watching US jobs data and geopolitical tensions.
Analysts predict that investors will track key economic indicators such as manufacturing and services PMI data from major economies, inflation figures from the Eurozone and Germany, and US non-farm payroll data due later in the week. These numbers could influence expectations over the Federal Reserve's September policy decision.
Jateen Trivedi, VP Research Analyst at LKP Securities, stated that 'The coming week is likely to remain highly volatile, with market participants attempting to price in the probability of a September Federal Reserve policy change.'
Gold futures for October delivery on the MCX fell Rs 6,157, or 3.8 per cent, last week to Rs 1.56 lakh per 10 grams. Silver futures for September declined Rs 9,893, or 4 per cent, to Rs 2.36 lakh per kg.