Gold and silver prices remain a declining trend. The dollar is on the path of continuous recovery, which has caused the shine of Precious Metals. However, the decline is limited due to the expectation of a relief package in the US. On the other hand, the World Gold Council has said that the demand for gold could improve this year after last year’s heavy fall.
Fall in gold
Gold is seen below Rs 49,000 on MCX. Gold prices are at a 1-week low. The dollar is strongly under pressure on gold. There is uncertainty about the relief package in the US. The US Federal Reserve has kept rates constant. The US Federal Reserve will continue to purchase bonds.
Statement of WORLD GOLD COUNCIL
Meanwhile, WORLD GOLD COUNCIL’s statement said that gold demand in India has been the lowest in 26 years. Gold demand in India declined by 35 percent in 2020. Demand has declined due to the Corona crisis and lockdown. Gold consumption may increase this year. Growth in the economy will increase demand for gold.
Weakness in silver
Silver on MCX is under Rs 66,000. There is a weakness in silver due to the strong dollar.
Crude oil prices are weak today. Brent is close to $ 55. Concerns have arisen about the increasing strictness of the corona due to demand. At the same time, there is also a decline in metals due to slowing Chinese demand.
The shine of metals faded
Metals are under pressure due to weak Chinese demand. Metals also fall due to strong dollar. There is a record production of copper in Peru. Zinc is weak due to falling steel prices in China. China may impose a limit on steel production.
Investment advice by Ajay Kedia of Kedia Commodity
BUY GOLD FEB @ 48500 SL 48100 TGT 49200
BUY CRUDEOIL FEB @ 3800 SL 3750 TGT 3940
BUY NICKEL FEB @ 1275 SL 1250 TGT 1320
BUY RMSEED FEB @ 5400 SL 5340 TGT 5500
BUY COCUDAKL FEB @ 2050 SL 2000 TGT 2150
BUY JEERA MAR @ 13400 SL 13200 TGT 13800
Investment advice by Ravindra Rao of Kotak Securities
SELL GOLD APR @ 49150 TGT 48800 SL 49250
SELL CRUDEOIL @ 3880 TGT 3780 SL 3940
SELL COPPER FEB @ 600.50 TGT 594 SL 604