Gold and silver prices were mostly flat on Monday after a correction of over 1 percent last week. The yellow metal failed to get support as oil prices fell and stocks across the markets rose after the UAE and the Iran-aligned Houthi group welcomed a truce that would halt military operations on the Saudi-Yemeni border, alleviating some concerns about potential supply issues.

Share Market Live

NSE

In the Indian markets, MCX Gold June contract was slightly down at Rs 51,488, while MCX silver May contract was at Rs 66,945, up 0.32 percent.

In the international markets, gold was trading at $1930.5, up 0.35 percent. According to Anuj Gupta, VP-Research at IIFL Securities, lower crude prices and peace talk between Russia and Ukrain were the major reason for this correction in Gold and Silver prices.

"We expecte that prices may further correct. Traders can go for sell gold at 51900 with the stoploss of 52250 for the target of 51200 levels. They can also go for sell in silver at 67300 levels with the stoploss of 68100 levels for the target of 66000 and 65500 levels."

Also Read:

Asian markets mostly gain after upbeat finish on Wall Street

He said the higher equity market and lower crude oil price may put pressure on the bullions. Higher bond yields also pressurrise the bullion prices. Safe-haven demand may fade out and investors could divert their money from bullions to equity, he added.

Last week, gold prices had corrected by 1.49 percent to close at Rs 51,606 levels. Silver had also corrected sharply by 3.06 percent and closed at Rs 66,733 levels.

The early losses this week come after oil prices settled down around 13 percent last week - their biggest weekly falls in two years - when US President Joe Biden announced the largest-ever US oil reserves release.

(Edited by : Bivekananda Biswas)

First Published:Apr 4, 2022 12:50 PM IST