NEW DELHI: Gold prices were
little changed on Thursday as US Treasury yields retreated after a dip in the jobs data. Investor focus now shifts to European Central Bank and Bank of England meetings later today.

US private payrolls fell for the first time in a year in January as soaring COVID-19 infections disrupted business operations. The dollar was slightly up and US Treasury yields inched lower after the employment data.

Gold futures on MCX edged lower by 0.07 per cent or Rs 32 at Rs 48,052 per 10 grams. Silver futures were trading lower by 0.23 per cent or Rs 144 at Rs 61,359 per kg.

The yellow metal is fluctuating on dollar move with lack of fresh triggers. Prices have capped upside post US FOMC meeting with rate hike expectations in March. The softer dollar and geopolitical risk has kept the risk premium high in gold prices along with inflation worries, analysts said.

India’s gold demand surged to 78.6 per cent in 2021 which shows a recovery in consumer sentiments and dull demand post Covid.

In the spot market, the highest purity gold was sold at Rs 48,085 per 10 grams while silver was priced at Rs 61,430 per kg on Wednesday, according to the Indian Bullion and Jewellers Association.

The spot prices of gold are back above Rs 48,000 mark after almost a week, whereas silver has been holding above Rs 61,000 despite the weak sentiments.

Trading strategy
“We expect gold prices to trade sideways to up for the day with COMEX Spot gold support at $1,790 and resistance at $1,820 per ounce. MCX Gold April support lies at Rs 47,700 and resistance at Rs 48,300 per 10 gram,” Tapan Patel, Senior Analyst (Commodities), HDFC Securities.

Global markets
Spot gold was flat at $1,807.39 per ounce by 0049 GMT. US gold futures fell 0.1 per cent to $1,808.00.

Spot silver fell 0.1 per cent to $22.59 an ounce and platinum was little changed at $1,032.98, while palladium fell 0.5 per cent to $2,357.17.