Gold Prices Struggle Today After 2-Day Drop, Silver Rates Fall

Gold prices struggled to rise today in Indian markets amid a subdued global trend. On MCX, February gold futures rose 0.15% to 49,149 per 10 grams after a two-day drop, while silver rates fell 0.11% to 63,460 per kg. In the previous session, gold had fallen 0.3% while silver had risen 0.12%. “Intraday support for MCX Gold is approaching 48,820, below which corrective moves can gain momentum. More purchases can be expected just with a firm move overhead 50,150, “Geojit said in a note.

In global markets, gold rates rose as dovish US jobs data raised concerns about the rapid economic recovery. Spot gold rose 0.1% to $ 1,836.54 an ounce. Among other precious metals, silver fell 0.1% to $ 23.94 an ounce, while platinum gained 0.2% to $ 1,028.71 and palladium rose 0.1% to $ 2,334.03 .

However, gold gains were limited after a US government advisory panel endorsed the widespread use of Pfizer’s coronavirus vaccine on Thursday. The injections could begin in a few days, depending on how quickly the Food and Drug Administration approves, as expected, the expert committee’s recommendation, a senior official had previously said.

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Data released Thursday showed weekly U.S. jobless claims surged to a nearly three-month high amid rising COVID-19 infections and a lack of additional fiscal stimulus.

Meanwhile, British Prime Minister Boris Johnson has warned that Britain could exit the European Union without a trade deal. Gold is also considered a hedge against political and economic uncertainty.

Gold was also supported by a weak dollar. The dollar came under pressure again today as investors weighed the prospects for a stimulus deal in Washington against disappointing US labor data.

A big headache for investors is the inability of US lawmakers to agree to new stimulus, and both sides continue to blame each other. Senate Majority Leader Mitch McConnell has endorsed a $ 916 billion plan presented by the White House, but House Speaker Nancy Pelosi has supported a bipartisan proposal a bit more. little.

On Thursday, the European Central Bank stepped up its efforts to protect the region from a potential double dip recession with another burst of monetary stimulus, while warning that it may not exhaust all new firepower. (With contributions from the agency)

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