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Gold gains in choppy trading, awaits cue from Federal Reserve
Gold prices rose in choppy trading on Friday after investors viewed the commodity as oversold after uncertainty over whether or not the Federal Reserve will scale back monetary stimulus measures sent prices plummeting in recent sessions.
On the Comex division of the New York Mercantile Exchange, gold futures for August delivery were up 0.82% at USD1,389.05 a troy ounce in U.S. trading on Friday, up from a session low of USD1,377.85 and down from a high of USD1,391.65 a troy ounce.
Gold futures were likely to test support USD1,366.25 a troy ounce, Tuesday’s low, and resistance at USD1,423.25, Thursday’s high.
Gold prices fell on Thursday amid uncertainty over the fate of Federal Reserve stimulus measures, which tend to make gold an attractive hedge.
By Friday, investors viewed the commodity as oversold though mixed data allowed for choppy trading.
The U.S. Bureau of Labor Statistics reported earlier that the U.S. producer price index, which includes food and energy, rose 0.5% in May, beating expectations for a 0.1% rise after a 0.7% decline the previous month.
The core producer price index, which is stripped of the more volatile food and energy costs, rose 0.1% last month, in line with expectations, after a 0.1% gain in April.
However, the Federal Reserve reported earlier industrial production in the U.S. came in flat in May, missing expectations for a 0.2% rise though up from a 0.4% contraction the previous month.
Weaker-than-expected consumer sentiment data capped the dollar’s gains.
Thomson Reuters/University of Michigan’s preliminary consumer sentiment index fell to 82.7 in June from 84.5 in May.
Analysts were expected the reading to remain unchanged at 84.5.
Elsewhere on the Comex, silver for July delivery was up 2.22% at USD22.063 a troy ounce, while copper for July delivery was up 0.15% and trading at USD3.190 a pound.
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INTRADAY ROCKET JACKPOT NIFTY, BANKNIFTY, EQUITY BUY SELL CALL TIPS (17.06.2013)
BUY NIFTY ABV 5840 T 5860 5880 SELL BLW 5770 T 5750 5730
BUY BANKNF ABV 11960 T 12000 T 12040 SELL BLW 11900 T 11860 11820
BUY AXISBK ABV 1305 T 1315 1325 SELL BLW 1295 T 1285 1275
BUY BOB ABV 638 T 644 650 SELL BLW 634 T 629 624
BUY BOI ABV 276 T 278 280 SELL BLW 274 T 272 270
BUY CANBK ABV 394 T 397 400 SELL BLW 390 T 387 384
BUY YESBK ABV 480 T 485 490 SELL BLW 475 T 470 465
BUY HDFC ABV 825 T 830 835 SELL BLW 820 T 815 810
BUY HDFCBK ABV 668 T 673 678 SELL BLW 664 T 659 654
BUY ICICI ABV 1105 T 1115 1125 SELL BLW 1095 T 1085 1075
BUY KOTAK ABV 758 T 763 768 SELL BLW 754 T 749 744
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- Mcx gold tips for 17-06-2013
INTRADAY ROCKET JACKPOT EQUITY BUY SELL CALL TIPS (17.06.2013)
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BUY WIPRO ABV 334 T 337 340 SELL BLW 330 T 327 324
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BUY TELCO ABV 298 T 300 302 SELL BLW 294 T 292 290
BUY MARUTI ABV 1520 T 1530 1540 SELL BLW 1500 T 1490 1480
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BUY INFOSYS ABV 2410 T 2420 2440 SELL BLW 2390 T 2380 2370
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CRUDE NEXT WEEK OUTLOOK
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