Gold Silver Reports (GSR) – Gold MCX India Under Buying Zone; Support Key @31211—31070 — Gold prices seen pressure as the dollar jumped and U.S. Treasury yields continued to rise on signs of U.S. economic strength and an easing in the U.S.-China trade conflict.
The benchmark U.S. Treasury 10-year yield edged above 3 percent as jitters about growing federal borrowing spurred more selling in the U.S. government bonds, paving the path for it to visit levels not seen since July 2011.
“Gold MCX India is getting support key @31211 and below same could see a test of 31070 levels and resistance key is now likely to be seen @31525, a move above could see prices testing 31666”.
Meanwhile, political risk declined after the United States said it would likely reach a trade agreement with China and that officials from both sides would sit down for negotiations in a few days.
The European Central Bank is set to keep policy unchanged on Thursday, playing down worries over recent softness in the euro zone economy and leaving the door open to ending its lavish bond purchase scheme by the close of the year.
U.S. retail investors are losing their appetite for physical gold as buoyant stock markets offer tempting alternatives, sending sales of newly minted coins to their lowest in a decade.
Read More: Gold Prices Near five-week Low as Higher Dollar By Neal Bhai Reports
Now Metals traders will be awaiting an update on the health of the U.S. economy ahead of Friday’s data on first quarter growth, which could help determine the direction of the dollar.
Trade and geopolitical developments will also be in focus as possible drivers of demand for the metal amid lingering worries over the simmering trade tensions between the U.S. and China. – Neal Bhai Reports (NBR) INDIA
