Gold Prices Buoyant

The gold prices continued to rise over the last 24 hours despite the fact that the liquidity and hence the volatility was expected to be low. There has been a extended weekend for most parts of Europe on account of the Easter weekend and this had led to a drying up of the liquidity. But this did not stop the gold prices from rising further towards the 1340 region during trading as the risk sentiment took a beating. Trump continued his tirade against Amazon and this caused their share prices to fall hard. This dragged down the prices of many of the other stocks as well and hence the US stock indices showed a large drop. As i usual, this led to risk and uncertainty and during such cases, the funds that are pulled out of the stock markets are invested into gold and this is what we saw yesterday and this helped to spur the demand for gold.

Prices Rush Towards 1340

But overall, the gold prices continued to trade in the larger range for most of the day and it is expected that it would continue to remain the case until we get towards the end of the week when large news in the form of employment data is expected from the US. This is likely to rock the markets and bring in a lot of volatility and we believe that the market would consolidate with a bullish bias in the lead up to the release of the data.

On the other hand, the oil prices continued to trade in a subdued manner and as we have been saying many times over the last few weeks, the buoyancy and the volatility that was seen in the oil markets is long gone and now we only have some steady and calm trading going on.

The silver prices also gained during the last 24 hours and has since managed to climb over the $16.5 as of this writing and it is expected to be buoyant in the short term.