Precious Metals Preview: COMEX Gold Sees Flat Moves

COMEX Gold futures eased as the recent highs continued to act as a stiff resistance. The US dollar index rose further, hitting two and half month highs of 96.70 and weighed on commodity prices. Meanwhile, the global equities also stayed cautious amid continued concerns over the US-China trade talks. Europes stock markets saw modest buying after last weeks sharp losses. Shanghai stocks reopened positively after a weeklong break, hitting three month high. COMEX Gold mostly pulled back amid these cues and currently trade at $ 1311 per ounce, flat on the day. MCX Gold futures closed at Rs 33046 per 10 grams, down 0.60% on the day.

Global economic conditions remain tense and there is a possibility that Gold may see some bargain buying if prices fall further. The International Monetary Fund has warned governments to gear up for a possible economic storm as growth undershoots expectations. The fund now sees an economy that is growing more slowly than we had anticipated, IMF managing director Christine Lagarde told the World Government Summit in Dubai, noted media reports.