Among other precious metals, spot silver rose 1.2% to $21.36 per ounce, platinum gained 0.5% to $912.00 and palladium climbed 0.6% to $1,886.65.
“COMEX gold trades modestly higher near $1835/oz amid weakness in US dollar and concerns about Russian supply as some G7 countries plan to ban new gold imports from Russia. Gold is also supported by increasing growth concerns amid disappointing data and downbeat growth forecasts. Monetary tightening expectations and some stability in equities has however limited upside. Gold ETF’s have also seen net outflows reflecting weaker investor buying. Gold may remain a range amid warring factors however Fed’s tightening expectations may keep pressure on prices," said Ravindra Rao, VP- Head Commodity Research at Kotak Securities.
Some analysts expect the G7 move to be symbolic, saying that the ban just formalizes what has largely been in place via sanctions.
“The impact from a ban on Russian gold imports by G-7 nations is likely to be fairly limited, given that the industry already took steps to restrict Russian gold. It looks as though its largely symbolic," said Warren Patterson, head of commodities strategy at ING Groep NV told Bloomberg.
Gold, Silver Technical Outlook
“We expect both precious metals to remain volatile this week. Gold has the metal’s multiple rejections from the 200-DMA hurdle of $1,845, as well as the sustained trading below the 50-DMA, around $1,856 by the press time, also keeps gold sellers hopeful. Silver is trading near the make or break levels and if $20.78 holds on a weekly closing basis it could show strength again towards $22 per troy ounce in upcoming sessions. In rupee terms gold has support at ₹50,440–50,110, while resistance is at ₹50,980–51,240. Silver has support at Rs59,280–58,710, while resistance is at ₹60,480–60,910," said Rahul Kalantri, VP Commodities, Mehta Equities Ltd. (With Agency Inputs)
