Gold prices slip but some experts say downside limited
- Date: 07-Apr-2021
- Source: CNBC
- Sector:Economy
- Country:Middle East
Gold prices slip but some experts say downside limited
Gold futures on Wednesday were under some selling pressure amid a modest pullback in equities, but some experts forecast a recovery for bullion prices as questions about the state of the economy and lofty stock-market valuations persist.
Commodity investors may gather more insights about the outlook for both after the Federal Reserve releases its account of its March policy meeting at 2 p.m. Eastern Time, about a half-hour after gold settles.
Market participants are looking for clues about the Fed's view on inflation and the possibility that the central bank could soon reduce its market-stimulative bond-buying program as a first step toward normalizing monetary policy.
In the past five days, gold prices have recovered some ground after seeing a 12-month low in early March.
"Trader and investor attitudes remain very upbeat at mid-week, which is a negative for the safe-haven metals,“ wrote Jim Wyckoff, senior analyst at Kitco.com.
" However, losses in gold and silver will likely be limited in the near term as both metals' near-term technical postures have improved recently,“ he said.
June gold
GCM21, -0.18%
GC00, -0.18%
on Comex was