Undertone gold weak

Gold is solidly lower in early U.S. trading

Gold is solidly lower in early U.S. trading Wednesday, pressured by rallies in most major world stock markets today that have pulled investor interest away from the safe-haven metal. An upbeat U.S. durable goods orders report Wednesday morning also put more selling pressure on gold. However, there is an entire U.S. trading session that lies ahead, and no one knows what the end of the day will bring. A weakening in the U.S. stock market as today’s session progresses would likely boost the gold market. December Comex gold was last down $18.30 at $1,117.50 an ounce. September Comex silver hit a six-year low this morning and was last down $0.565 at $13.96 an ounce.

SPOT SILVER UPDATES

September silver futures bears have the solid near-term technical advantage as prices hit a six-year low today. Bulls’ next upside price breakout objective is closing prices above solid technical resistance at $15.00 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at $14.00. First resistance is seen at $14.50 and then at today’s high of $14.705. Next support is seen at today’s contract low of $14.11 and then at $14.00. SPNGOLD Market Rating: 1.0.

Overall the trend seems to be weak.

Gold currently 0.995 purity is rs 26574

per 10 gms.The spot gold price is approx 1126$.May fall to 1111$ soon.Silver too is loosing support.
China effect is seen all throughout.

86 yrs history of gold price per 10 gms upto 2011

Gold price history.

Gold Bearish

In the national capital, gold of 99.9 percent and 99.5 percent purity slid Rs 50 each to Rs 26,950 and Rs 26,800 per 10 grams, respectively, its weakest level since April 17. The precioushttp://www.reliancemgp.com/images/price.jpgmetal had lost Rs 340 over the past two days. Sovereign fell Rs 100 to Rs 23,600 per piece of 8 grams.

Gold in New York, which normally sets the price trend on the domestic front, fell 0.6 percent to USD 1,168.10 an ounce and silver by 0.7 percent to USD 15.98 an ounce in yesterday's trade.

Gold India Bearish

"We expect the gold prices to remain bearish and if the rupee continues to rule at current level the yellow metal may touch Rs 24,500 level by December," Motilal Oswal associate vice president for commodities Kishore Narne said. Echoing similar views, Commtrendz Research director Gnanasekar Thiagarajan said the prices are expected to be around Rs 25,000-25,500 by December if the rupee continues at the current 61 levels.

Weak global prices: In global commodity markets, gold was trading near its lowest since 2010, at $1,168 an ounce. With gold breaking the critical support levels of $1,180, there could be more downside to its prices, said Vikas Vaid, product head of commodity and currency at Prabhudas Lilladher. He expects gold to consolidate at $1,125 levels.

"Gold demand could pick up if prices fall by Rs 1,000 from current levels," said Mr Vaid of Prabhudas Lilladher.

gold global

Central banks around the globe continued to gobble up gold to add to their reserves in 2014 purchasing a total of 477 tonnes, which is a 17% jump from 2013, according to the World Gold Council.

It was the second highest year of central bank purchases in 50 years.

Russia was the stand-out buyer in 2014, as the country added 173 tonnes to its reserves.  Now, Russia holds over 1,200 tonnes of gold and is the sixth largest holder of gold in the world. "They have been buying 10-25 tonnes per month over the last five to six years. The Russian central bank continues to show they are looking to continue that," said Ashish Bhatia, director of central banks and public policy at the World Gold Council.

President Obama visit and Prime Minister Narendra Modi

http://cdnbakmi.kaltura.com/p/303912/sp/30391200/serveFlavor/flavorId/0_xwuvf6ti/name/0_xwuvf6ti.mp4

PM Modi on INDIA US PARTNERSHIP

trends silver gold

Speculators Flock to Silver

Silver headed for a bull market in its best start to a year in more than three decades as the European Central Bank expanded economic stimulus measures, boosting demand for the metal as a store of value.

Holdings in exchange-traded products backed by the metal have posted three straight weekly gains, while U.S. government data show money managers raised their net-bullish wagers to the highest since August. An ounce of gold bought as much as 71.5 ounces of silver on Thursday, compared with an average of 58 in the past decade, signaling the white metal is inexpensive relative to gold.

The euro weakened to an 11-year low against the dollar as the ECB expanded its bond-buying program, boosting demand for precious metals as alternatives to currencies that are being revalued. A collapse in oil prices has boosted the appeal of gold amid the threat of deflation, and the price on Wednesday topped $1,300 an ounce for the first time since August.

“Silver is enjoying safe-have bids along with gold, and there is also a lot of physical buying” Frank McGhee, the head dealer at Alliance Financial LLC in Chicago, said in a telephone interview. “There is a flight to safety because of all the concerns about the economy.”

via Bloomberg

gold price physical india

20-Jan 17hours
Mum:28140/39700
Del:28190/39650
Chn:28140/39050
Bng:28110/39200
Matura:28360/39650
Mysor:28000
Rs:61.75
G:1291.6/28037
S:17.87/39525

gold rises

The Reserve Bank of India Thursday surprised the market by cutting repo rate by 25 basis points to 7.75 percent from 8 percent, with immediate effect, head of its policy review on February 3

“Households’ inflation expectations have adapted, and both near-term and longer-term inflation expectations have eased to single digits for the first time since September 2009. Inflation outcomes have fallen significantly below the 8 per cent targeted by January 2015. On current policy settings, inflation is likely to be below 6 per cent by January 2016,” the RBI said in arelease on its decision to cut the benchmark rate.

In early trade, gold opened with a decline to hit $1224 in the international market translating thereby the lower level of Rs 26700 per 10 grams in spot domestic trade. But, following the Reserve Bank of India (RBI)'s surprise move to cut repo rate by 25 basis points to 7.75%, the rupee ended with a marginal appreciation of 0.07 to 62.07 against the dollar. After opening at 61.89, the Indian currency slipped to 62.14 but appreciated again to touch the high of 61.48 during Thu
rsday trade.

"No doubt currency market's turbulence had supported the gold prices well in last few weeks and helped the metal prices to hold above Rs 27,000 mark. Fundamentals, however, continued to remain negative as investors remained bullish towards dollar. Gold may see a price testing close to Rs 27500-27800 per 10 grams range in short term while medium term outlook still remain weak to re-test Rs 25000 - 25500 range," said Ajay Kedia, managing director, Kedia Commodity.