Gold prices to trade sideways:
On Wednesday, spot gold prices rose marginally by 0.22 percent to close at $1274 per ounce as traders repositioned themselves after the Federal Res erve said it will keep target interest rates unchanged for the time being. The latest Fed statement came a day ahead of confirmation of a new chair, likely replacing incumbent Janet Yellen. Fed Governor Jerome Powell is widely seen as the favorite to take over next year. He is considered less hawkish and therefore more bullish for gold than his main challenger. Markets also awaited U.S. President Donald Trump’s tax plan, which Republicans plan to release Thursday morning. On the MCX, gold prices rose margin ally by 0.22 percent to close at Rs.29327 per 10 gms.
We expect gold prices to trade sideways today as the market awaits the key Non – Farm payrolls data due to be released this Friday, besides, the appointment of the next FED chair. On the MCX, gold prices are expected to trade sideways today, international markets are trading higher by half a percent at $1279 per ounce.