Gold To Stay In Corrective Phase, Investors Eye Key US & China Data For Next Cues

New Delhi: Gold prices are likely to remain in a corrective and range-bound phase in the coming week as traders await crucial US inflation data, key economic indicators from China, and developments around trade tariffs, according to market analysts. The direction of gold will also hinge on comments from US Federal Reserve officials, which could offer fresh signals on monetary policy.

Range-bound movement amid global uncertainty

Pranav Mer, Vice President – EBG Commodity & Currency Research at JM Financial Services, said gold prices could witness more consolidation as investors monitor the US Supreme Court’s hearing on tariffs, Fed speeches, and upcoming macro data. He noted that while the metal slipped slightly last week, gains remain capped by a strong dollar and weak retail demand, as buyers wait for further price correction.

However, he added that the downside remains limited due to uncertainty surrounding the US economic outlook amid the ongoing federal government shutdown, which has delayed key data releases. This has complicated the Fed’s policy assessment ahead of its next meeting.

Domestic and global price trends

On the Multi Commodity Exchange (MCX), gold futures for December delivery fell by Rs 165, or 0.14 percent, last week to Rs 1,21,067 per 10 grams. Analysts expect the yellow metal to trade between Rs 1,17,000 and Rs 1,22,000 per 10 grams in the near term.

Prathamesh Mallya of Angel One said factors such as a weak US labour market, safe-haven demand, and central bank buying continue to support gold prices. He noted that gold is still on track for its best annual performance since 1979, despite short-term volatility.

Global trends and silver outlook

In the international market, Comex gold for December delivery gained USD 13.3 to settle at USD 4,009.8 per ounce. Riya Singh of Emkay Global said gold stabilised near USD 4,000 after volatile swings driven by shifting expectations over US monetary policy. However, mixed Fed signals and delayed inflation data kept optimism in check.

Silver mirrored gold’s movement, slipping by Rs 559 to Rs 1,47,728 per kilogram on the MCX. Comex silver ended at Rs 48.14 an ounce. Singh said silver remains supported above Rs 47.55 per ounce amid safe-haven demand and geopolitical risks, though policy ambiguity and profit-taking could limit sharp gains.