According to Motilal Oswal, Gold fell to the lowest level in a month primarily as the dollar rose against its major crosses and better-than-expected economic number from the US.
Gold fell to the lowest level in a month primarily as the dollar rose against its major crosses and better-than-expected economic number from the US. Volatility in gold remained elevated as prices fell from levels of as high as $2,000 to lows of $1,922 that touched at the last day of the week. Resurgence in the U.S. dollar and US treasury yields gave investors some pause in buying bullion as a stronger dollar can make gold comparatively more expensive to overseas investors.
At the same time, ECB will be releasing its policy statement and expectation is that the central bank would maintain a dovish stance and that could keep the Euro weighed down against the US dollar. Broadly, we expect gold on MCX to quote in the range of 50065 and 51950.
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First Published on Sep 8, 2020 02:29 pm