Imports of gold decrease by 71% to their lowest level in 20 months as demand declines and prices rise
Gold futures started trading at Rs. 56156.00 per 10 grams on the Multi Commodities Exchange (MCX), reflecting a modest decline of 0.10%. Silver futures, on the other hand, began at Rs. 65607.00 per kilogram, down slightly (0.22%).
Spot silver had increased by 0.08% as of 3:24 PM GMT when it was trading at $21.76 per ounce. The final price of platinum was $927.50. Palladium, on the other hand, was priced at $1,507.19.
According to a survey by JM Financial Research, imports of gold have decreased by 71% over the past 20 months, with the lowest amount being USD 697 million. This decrease took place without any government involvement to restrict gold imports. The decrease in demand for gold might have been influenced by the 4.5% increase in gold prices in January.
According to research from ICICIdirect, gold is anticipated to be traded with a negative bias due to the expectation of an increase in interest rates and a strong dollar. The weak trend is indicated by the breach of both the lower band of the upward-sloping trend channel and the important 20-day EMA support. Prices are expected to drop towards 55,700-55,600 as long as they stay below 56,500. At 64,780, the crucial support and 38.2% Fibonacci retracement level of the bull surge have been reached for MCX silver. Prices must drop below 64,200 in order to continue falling 64,780. The 50 day EMA, located at 66,900, would act as a significant upward resistance, according to the research.