Gold and Silver rate today (June 13, 2024): Precious metals trade under pressure; should you buy or sell?

Gold and Silver rate today (June 13, 2024): Domestic precious metal futures on Thursday traded under pressure as investors digested the latest signals from the Federal Reserve that it’s unlikely to implement more than one interest-rate cut this year.

MCX gold futures (Aug 5) were down Rs 434 or 0.6 per cent at Rs 71,536 per 10 gm. Meanwhile, MCX Silver futures (Jul 5) were down 1.74 per cent or Rs 1,578 at Rs 88,867 per kg.

"Gold traded weak with gap down opening near Rs 71,400 down by more than Rs 500 as Fed's policy was more towards hawkish side even after hints at one rate cut in 2024 which can be around September as CPI inflation has been dropping in last couple of outcomes. The more impetus was seen on 2025 with possible of 100 basis points (bps) cut so the year 2025 will be looked as interest rate cut year hence near term outlook remains unclear which was not taken well Gold. Gold trend remains volatile between Rs 70000- Rs 72500 in short term. Overall Rs 68,000 is the base support for uptrend to continue," said Jateen Trivedi, VP Research Analyst - Commodity and Currency, LKP Securities.

Neha Qureshi, Senior Technical and derivative Research Analyst, Anand Rathi Commodities & Currencies recommended selling gold August futures on rise at 71,900, keeping the stop loss at Rs 72,500 and a target price of Rs 71,000. For silver July futures, she recommended selling on the rise at Rs 90,400, with a stop loss of Rs 91,400 and a target of Rs 88,400.

Meanwhile, COMEX gold in the international market was down 0.92 per cent at $2,3233.7 per ounce.

"Spot gold is expected to trade with a bearish bias as traders seek more clarity on rate cuts considering the encouraging inflation report and the Fed's cautious stance," said Praveen Singh – Associate VP, Fundamental Currencies and Commodities, Sharekhan by BNP Paribas.

Singh sees support at $2300/$2277 and resistance at $2342/$2350/$2365.

(Disclaimer: These are indicative prices collected from trusted sources. Investors are advised to check prices with their jeweller before acting on the information.)

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