Gold - July 8, 2021 - Reliance Securities

Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities

International gold prices gave up most of gains made yesterday and is trading a notch below $1,800/ounce on Thursday early afternoon trade in Asia even as Federal Reserve minutes that showed policy makers wanted a more solid economic recovery before setting a timeline for trimming bond purchases.

Notes from the Fed's June meeting however indicated that the officials acknowledged the need to plan for stimulus tapering.

The dollar strengthened and also capped upside in gold. At the same time, the benchmark U.S. 10-year Treasury yields dropped to their lowest since Feb. 19 and capped downside.

On the data front, the U.S will release the jobless claims data and could move the market this Thursday.

Technically, LBMA Gold holds a resistance zone near $1810-$1820 levels. Support is at $1790-$1781 levels.

Domestic gold prices are also trading weaker on Thursday early afternoon trade, tracking overseas prices.

Technically, MCX Gold August holds a strong support near 47700-47600 levels. Resistance is at 48100-48300 levels.

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Source : Equity Bulls

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