Gold and silver prices showed biggest intraday fall in 3-Year. Gold Mcx October Future lost almost 1114 rupees from days’ high at one point of time before settling at Rs38894 per 10 grams with a loss of 929 rupees or 2.33% Silver plummeted by Rs2652 or over 5% at one point of time before closing with a loss of about 4% at Rs49458/kg.
Gold Comex lost almost $33 yesterday to close at $1526/ounce and silver lost over 80 cents to settle at $18.76/ounce.
Correction in duo was long awaited but such a galloping move is not a healthy sign for traders’ point of view as it risks large amount of capital if bet goes against their direction. One shouldn’t enter in the instruments having high “Wild-Swing” and “Volatility” without placing a right “STOP LOSS” of the trades done.
US-CHINA Trade Optimism once again fuelled the rally in the Stock Markets, Industrial commodities and other Riskier assets, propelling the prices of bullion to trade low. US and China will start fresh trade talks next month, statement came from the Chinese Commerce Ministry.
US ADP numbers came solid with 195k job addition in August, forecast was for 150k, stoking the massive correction in the yellow and white metals.
Story by Tarun Satsangi for TarunSatsangi.com