Now MCX Gold is getting Resistance at 28070 and below same could see a test of 27910 level, And resistance is now likely to be seen at 28555, a move above could see prices testing 28724.
Gold on MCX settled down -0.38% at 28472 as the dollar firmed and the market reduced expectations of a surprise win by France’s far-right presidential candidate.
The Fed concluded its two-day meeting with a bullish statement that downplayed weak first-quarter economic growth, said inflation has been “running close” to its target, and emphasized the strength of the labor market, in a sign it could tighten monetary policy as early as June. U.S. companies hired workers at a slower but still-solid pace in April while the services sector grew more than expected, supporting the notion that economic expansion remains on track despite a weak first quarter, private reports showed.
The Institute for Supply Management said its index of non-manufacturing activity (services) rose to 57.5 April from 55.2 in March, handily beating expectations of 55.8. In the French elections, centrist Emmanuel Macron said French voters should expect verbal “hand-to-hand” combat when he and far-right candidate Marine Le Pen face off in a televised debate on Wednesday evening.
Fears that Le Pen could sweep to a surprise victory had buoyed gold in recent sessions due to its safe-haven appeal. Traders are pricing in a 70 percent chance of a June rate increase, according to the CME Group’s FedWatch Tool. Investors are awaiting Friday’s monthly U.S. non-farm payrolls report for greater signs of the Fed’s likely rate hike trajectory through the end of the year. — Neal Bhai Reports