Gold rates today near life-time peak. Silver price at 5-week high. Buy or sell?
2 min read . Updated: 16 Mar 2023, 09:37 AM IST
Premium- Gold rate today has support placed at ₹57,650 per 10 gm levels, say commodity market experts
Gold rates today opened lower from its yesterday's close in both international and domestic market. Gold future contract for April 2023 on Multi Commodity Exchange (MCX) opened at ₹57,955 per 10 gm, ₹343 below from its Wednesday close of ₹58,338 per 10 gm. However, despite sell off in morning deals, gold price in India is less than ₹1,000 per 10 gm away from its life time high of ₹58,847 per 10 gm.
In international market, gold price opened flat but soon came under the profit-booking pressure and lost to the tune of $6 per ounce. However, gold price today in the international market is still above the psychological $1,900 per ounce levels. Like gold, silver rate today is under pressure and has lost around 0.65 per cent in early morning session. But, the precious white metal is still around 5-week high.
According to bullion experts, every dip in bullion metals should be seen as buying opportunity as overall bias is still positive for gold and silver prices. They said that one can buy gold and silver at current levels as gold has intraday support placed at ₹57,650 levels whereas silver rate today has immediate support at ₹65,800 per kg.
Credit Suisse crisis fuels gold price rally
On why gold and silver prices fell in early morning deals, Marc Despallieres, Chief Strategy and Trading Officer at Vantage said, "The dollar rose on Wednesday on safe-haven buying after Credit Suisse's stock tumbled following the disclosure of "weaknesses" in its financial reporting that renewed investor concerns that a full-blown global banking crisis may be brewing. The DXY index regained upside traction during the European trading session and reached daily high of 105.1 level at the beginning of US trading session."
Gold, silver price target
Advising gold and silver investors to buy at current levels, Anuj Gupta, Vice President at IIFL Securities said, "Bank crisis in US has further worsened that has put equity, US dollar and other assets under pressure. Therefore gold and silver are expected to continue attracting appeal as investors haven in near term till US Fed's FOMC meeting outcome becomes public." He said that after Silicon Valley Bank crisis, we are coming across a big banking crisis in Switzerland in the form of Credit Suisse crisis.
Anuj Gupta of IIFL Securities advised gold investors to buy gold at current levels on MCX maintaining stop loss at ₹57,650 per 10 gm levels for intraday target of ₹58,600 per 10 gm levels.
Likewise, one can buy silver at around ₹66,500 per kg levels for intraday target of ₹68,000. However, one must maintain strict stop loss at ₹65,800 per kg levels," maintained Anuj Gupta.
Expecting rally in gold and silver prices to further continue, Marc Despallieres of Vantage said, “After the collapse of some American regional banks and the crisis of Credit Suisse Group AG, investors evokes the memories of the 2008 financial crisis and bolstering speculation that major central banks will have to give some liquidity support for the financial regulator."
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions.
