Gold, Silver Likely To Stay Under Pressure This Week As Dollar Strength, Iran Crisis Weigh: Analysts

Bullion prices are expected to remain weak in the coming week as markets continue to weigh the fallout from renewed US-Iran hostilities, crude oil price swings and a heavy lineup of global economic data.Investors will be tracking manufacturing and services PMI readings from major economies, Eurozone inflation numbers, and the US nonfarm payrolls and unemployment data this week for signals on where the Federal Reserve&#039;s policy stance is headed, news agency PTI reported.Geopolitical concerns are likely to stay in the spotlight too, with talks between Washington and Tehran having stalled after the conflict escalated sharply.&amp;nbsp;&quot;For gold and silver prices, the momentum still remains down and corrective,&quot; said Pranav Mer, vice president, EBG - commodity &amp;amp; currency research at JM Financial Services Ltd., said.As per the report, on the Multi Commodity Exchange, gold futures for the August contract dropped Rs 3,041, or 2.06%, over the week to close at Rs 1.44 lakh per 10 grams, while silver for September delivery fell sharply by Rs 15,269, or 6.4%, ending the week at Rs 2.23 lakh per kilogram.&quot;Gold remained under significant selling pressure last week, ending lower by 2%, extending its week-on-week decline as persistent US dollar strength continued to weigh on precious metals,&quot; PTI quoted Jateen Trivedi, research analyst, commodity and currency at LKP Securities, as saying.ALSO READ:&amp;nbsp;US-Iran Tensions, Crude Oil Prices To Drive Stock Market Mood This WeekHe added that crude oil prices corrected sharply by nearly 10%, which eased inflation concerns, reducing gold&#039;s appeal as an inflation hedge, and investors continued to favour the US dollar over bullion.&amp;nbsp;Globally, Comex gold futures slid $149.6, or 3.5%, last week to settle at $4,096.3 per ounce, while silver tumbled $7.13, or 10.7%, to $59.67 per ounce in New York, according to the report.Mer noted that gold staged a mild rebound on Friday on bargain buying, after the latest US Personal Consumption Expenditures data showed inflation had eased more than in the previous reading.Sustained gold buying by China&#039;s central bank, fresh US-Iran strikes, and US President Donald Trump&#039;s threat of 100% tariffs on the European Union also helped support prices, the news agency reported. However, rising US Treasury yields kept a lid on gains, while silver stayed weak amid soft industrial-metal demand, dollar strength and subdued buying interest, Mer said.Analysts added that bullion&#039;s direction this week will largely depend on incoming US data, Fed commentary and the dollar&#039;s trajectory, PTI reported.ALSO READ:&amp;nbsp;GST Turns 10, Focus Shifts To AI-Led Compliance, Quicker Refunds, Simpler Tax Processes

Gold, Silver Likely To Stay Under Pressure This Week As Dollar Strength, Iran Crisis Weigh: Analysts

Geopolitical concerns are likely to stay in the spotlight too, with talks between Washington and Tehran having stalled after the conflict escalated sharply.

News for You

Udhayanidhi Stalin Slams Vijay's TVK Govt After Series Of Murders In Tamil Nadu On Diwali

Stock Market Highlights: Nifty Reclaims 25,000 After Muhurat Dip; Sensex Ends 100 Pts Higher. Check Key Gainers

HUL Initiates Calibrated Price Hikes Of Up To 20% Across Surf Excel, Dove Portfolio

David Warner Questions Cricket Australia's Probe Into 2018 Ball-Tampering Scandal, Backs Usman Khawaja