Gold price rose during the session on Wednesday, climbing above the $1300 level. That being the case, we feel this market should continue to go higher, probably heading to the $1320 level, when Gold break the resistance it was able to sustain above the level and didn’t cross the level of 1300. Gold added weight yesterday after the US and German government bond yields fell wherein Reuters reported, its sources are nearly confirming a rate cut by the ECB in the coming meeting. US 10 year Treasury yields fell to a six-month low near the 2.52% mark
Gold price had got a good number of buyers now and the rally would go till 1320 currently gold is in a bullish trend.
Silver rose yesterday, using $19.50 level as support. It continue the trend with gold and reached all the way to the $20.00 level, but found resistance there and didn’t cross the level. A break above the $20.00 level is expected in today’s session,
Silver price can range between 19.20 to 19.80
US benchmark, West Texas Intermediate (WTI) for June delivery, was down 33 cents to US$102.04 a barrel in mid-morning trade while Brent North Sea crude for June dropped 19 cents to US$110.00. else the inventory for Crude oil that came yesterday was @0.9M more than the forecasted @-0.4
Crude price are in a consolidate range and can trade in the range of 101 to 101.80
TODAY’S DAY RANGE
- There are a number of economy related cues which could create high volatility in the overall basket mainly the EU CPI along with US Jobless claims data and IP number.
- ECB may ease its policy modestly but would not enter into Quantitative Easing at this point, says ECB.