Gold Silver Reports – Gold MCX Strong Support Key at 29786 Target 30055—30170 — Technically Gold market is under short covering as market has witnessed drop in open interest by 2.25% to settled at 5824 while prices up 77 rupees.
Gold MCX is getting support key at 29786 and below same could see a test of 29550 levels and resistance key is now likely to be seen at 30070, a move above could see prices testing 30325.
Gold on MCX settled up 0.26% at 29911 as the U.S. dollar fell to fresh three-year lows, but an end to uncertainty created by a three-day U.S. government shutdown capped gains. The dollar extended recent weakness against a basket of major currencies to hit a fresh three-year low, after the euro surged on consumer confidence data indicating strong momentum in the region’s economy.
The U.S. Senate confirmed Federal Reserve Governor Jerome Powell as the next head of the central bank, succeeding Janet Yellen, a move likely to provide continuity in U.S. monetary policy with the economy growing now for nine years straight.
The Bank of Japan kept monetary settings unchanged as expected and its chief hosed down market speculation of a shift away from ultra-easy policy later this year as inflation remained stubbornly shy of the central bank’s target.
U.S. Treasury debt yields weakened in quiet trading, moving in tandem with Japanese government bond yields, after the Bank of Japan kept interest rate targets unchanged and its top official quashed speculation of a move away from an easy monetary policy.
Gold demand in China firmed as retailers stocked up ahead of the Chinese New Year while price discounts widened in India. Gold imports to Turkey hit a record 370 tonnes in 2017, more than trebling from 106.1 tonnes, data from Borsa Istanbul showed. – Neal Bhai Reports
