Gold Jackpot Tips: Gold Hit 1000 Points 60200 To 59325

Gold Jackpot Tips: Gold Hit 1000 Points 60200 To 59325. On Monday’s trade in the Multi Commodity Exchange (MCX) gold prices rose by Rs 1000 to Rs 60,455 per 10 gram in futures trade as investors opened new positions in response to strong spot demand.

Gold futures for April delivery increased by Rs 1000, or 1.64 percent, to Rs 60,455 per 10 gramme on the Multi Commodities Exchange, where 8,789 lots were traded.

Globally, gold was priced at USD 2,020.70 per ounce, up 1.53 percent.

Meanwhile Shobhit Mehrotra, Head-Fixed income, HDFC AMC sharing his outlook for Indian Fixed Income Market in the view of the abrupt failure of two regional banks in the US along with turmoil in a large European bank said that  collapse has significantly raised fear of contagion risk spreading across the financial sector.

Gold price rally at mercy of Federal Reserve conundrum

With the Federal Reserve meeting within the market sight this week, market players are asking themselves whether this flight to safe haven will keep benefiting Gold, or if the US Dollar can make a comeback.

“At this point, it looks very unlikely the Fed will opt for a 50 bps rate hike. If that were to be the case, the initial reaction could provide a boost to the USD and weigh on yellow metal. However, such a decision could also revive fears over a deepening financial crisis and trigger a fresh bout of flight to safe-haven bonds, causing US T-bond yields to fall sharply and opening the door for a leg higher in Gold price.

At the other extreme, markets are likely to go back into panic mode even if the Fed were to leave its policy rate unchanged to address the tightening of financial conditions. Investors could assess such a decision as the situation in the banking sector being much worse than what they were led to believe.”

Forecast poll experts not buying into Gold price hype

Despite the huge bullish momentum in Gold price, FXStreet Forecast Poll respondents are

Gold price rally at mercy of Federal Reserve conundrum

With the Federal Reserve meeting within the market sight this week, market players are asking themselves whether this flight to safe haven will keep benefiting Gold, or if the US Dollar can make a comeback.

“At this point, it looks very unlikely the Fed will opt for a 50 bps rate hike. If that were to be the case, the initial reaction could provide a boost to the USD and weigh on yellow metal. However, such a decision could also revive fears over a deepening financial crisis and trigger a fresh bout of flight to safe-haven bonds, causing US T-bond yields to fall sharply and opening the door for a leg higher in Gold price.

At the other extreme, markets are likely to go back into panic mode even if the Fed were to leave its policy rate unchanged to address the tightening of financial conditions. Investors could assess such a decision as the situation in the banking sector being much worse than what they were led to believe.”

Forecast poll experts not buying into Gold price hype

Despite the huge bullish momentum in Gold price, GSR Poll respondents are way more cautious, with the consensus not buying the current hype of yellow metal bulls. The average end-of-the-week target for the bright metal in the poll $1,948, with 50% of the experts in bearish territory. 

This might reflect a cautious market positioning ahead of a super busy week, with the FOMC Meeting looming, but can also be read in a counter-intuitive way, with US Dollar bulls (or US Treasury bond bears) vulnerable to more losses if the nervousness of the market persists throughout the week.

, with the consensus not buying the current hype of yellow metal bulls. The average end-of-the-week target for the bright metal in the poll $1,948, with 50% of the experts in bearish territory. 

This might reflect a cautious market positioning ahead of a super busy week, with the FOMC Meeting looming, but can also be read in a counter-intuitive way, with US Dollar bulls (or US Treasury bond bears) vulnerable to more losses if the nervousness of the market persists throughout the week.

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Neal Bhai has been involved in the Bullion and Metals markets since 1998 – he has experience in many areas of the market from researching to trading and has worked in Delhi, India. Mobile No. - 9899900589 and 9582247600

7 thoughts on “Gold Jackpot Tips: Gold Hit 1000 Points 60200 To 59325”

  1. Gold price resumes the rally that started at the beginning of March when Gold found a floor at circa $1,805. Since then, it has climbed over $200 to above $2,000. The precious metal is in a short and medium-term uptrend. Upside momentum is strong, unless it turns on a dime, it should continue rising.

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