Gold and Silver Prices Climb on November 21, 2023, Amid Weak Long Term Yields

On November 21, 2023, gold and silver prices saw a significant surge as weakness in long term treasury yields influenced the precious metals market. Investors and market watchers noticed an uptick in MCX December gold futures, which rose by 0.54%, increasing by Rs 327 to reach Rs 60,984 per 10 grams. These futures traded within a daily range of Rs 60,805 to Rs 60,998, signaling a strong day for the bullion.

Silver also experienced an increase, with December futures showing a 0.77% rise, which translated to a Rs 556 gain, resulting in a price of Rs 73,200 per kilogram. This gain comes amid a financial environment where long term yields have shown a downturn, particularly after a substantial $16 billion sale in 20-year notes that attracted a robust demand in treasury auctions.

Experts like Neha Qureshi from Anand Rathi Commodities & Currencies have weighed in on the situation, attributing the rise in gold prices to anticipations of interest rate cuts due to peaked yields. Qureshi advised investors to consider purchasing gold December futures on dips at Rs 60,700, targeting a price of Rs 61,200, while maintaining a stop loss at Rs 60,300. For silver, the suggestion was to buy on dips at Rs 73,000, with a target of Rs 75,000 and a stop loss at Rs 72,000.

Amit Khare from GCL Broking concurred, advising traders to look out for fresh buying opportunities in gold and silver around those support levels. Khare has identified support for Gold December futures at 60,600/60,300 and resistance at 61,000/61,200, while for Silver December futures, support is pegged at 72,500/71,800 and resistance at 73,500/74,000.

Internationally, the trend is similar, with COMEX gold climbing by 0.71% to $1994.2 per ounce. Market analysts suggest a trading range between $1950 to $2000 for gold in the near term, with the crucial level for US ten-year yields hanging around 4.38%.

Spot Gold Prices in Major Indian Cities

Spot prices for 24k gold varied across major Indian cities on the same day, with Mumbai seeing a rate of Rs 62,685 per 10 grams, while Delhi listed Rs 62,795. In Chennai, the price was recorded at Rs 62,770, and Kolkata at Rs 63,025. Bengaluru, Hyderabad, Ahmedabad, and Bhopal ranged closely from Rs 62,765 to Rs 62,820. Other cities like Visakhapatnam, Jaipur, and Madurai also showed comparable price levels for the 24k gold.

These are indicative gold spot prices collected, and it is recommended for investors to verify the prices with local jewellers before making any financial decisions.

Gold, Silver, Prices