After 18% of decline in gold in the month of October, November has held some grace and we have seen some support coming back into the prices. For gold prices USD 680/oz on the lower side is a very important support on the higher side USD 750/oz till it breaches that you may not see another rally coming into gold prices for the near-term.
Here is a verbatim transcript of Manisha Gupta comments on CNBC-TV18. Also see the accompanying video.
After 18% of decline in gold in the month of October, November has held some grace and we have seen some support coming back into the prices. The euro is trading firmer against the US dollar and that is supporting the prices.
Crude prices is also holding above USD 65/bbl and has led to some buying into gold prices. In any case there was lot of shorting and people are making short covering and bargain buying also in case of gold prices. We have seen rate cuts happening from US, Canada, China, India lots of countries and markets are expecting more rate cuts from other central banks like Bank of England, European Central Bank (ECB) and Reserve Bank of Australia (RBA) and that would happen in this week and some support could be coming in from that as well.
Apart from that the US Presidential elections tomorrow may not have too much of a jitteriness into the market and we would not say too much of movement happening into the prices till the time day-to-day we have seen only USD 5-6 of a movement, so markets are awaiting that result as well and you may not see too much of a movement ahead of that.
Equity markets have seen a bit of gains and that also is supporting the commodity market in the near-term. For gold prices USD 680/oz on the lower side is a very important support on the higher side USD 750/oz till it breaches that you may not see another rally coming into gold prices for the near-term.
