Gold rate, silver price predictions: Experts predict short-term prices target

Gold prices firmed on Tuesday as concerns over the global trade war fuelled demand for safe-haven assets, while investors awaited a key U.S. inflation reading. Spot gold rose 0.6 per cent to $3,361.99 per ounce. U.S. gold futures were up 0.4 per cent to $3,371.30. The U.S. dollar was down 0.1 per cent, making gold cheaper for buyers holding other currencies.

Gold Price Prediction

Gold is edging higher as bulls look to take advantage of the dollar that’s a touch lighter today, said Han Tan, chief market analyst at Nemo.Money. Gold enjoys plenty of supportive factors, from expectations for Fed rate cuts, U.S. President Donald Trump’s tariff threats, as well as persistent geopolitical and economic risks, Han Tan said.


The European Union on Monday accused the U.S. of resisting efforts to strike a trade deal and warned of countermeasures if no agreement is reached to avoid the punishing tariffs Trump has threatened to impose starting on August 1.

Trump escalated his trade war on Saturday, announcing a 30 per cent tariff on most EU and Mexican imports, after issuing similar warnings to other trading partners.

Meanwhile, the U.S. consumer price index (CPI) report, due at 1230 GMT, could give investors more guidance on the Federal Reserve's policy path.

U.S. consumer prices likely picked up in June, potentially marking the start of a long-anticipated, tariff-induced increase in inflation that has left the Fed cautious about resuming rate cuts. Markets currently anticipate 48 basis points worth of rate cuts by the end of this year, starting in October.

Silver Rate Prediction

Elsewhere, spot silver gained 0.4 per cent to $38.28 per ounce, after hitting its highest level since September 2011 on Monday. If the current gold to silver price ratio is maintained, at gold prices above $3,440/oz, we will see silver above $40/oz, said WisdomTree commodities strategist Nitesh Shah.

Platinum rose 0.8 per cent to $1,373.85, while palladium rose 0.2 per cent to $1,195.59.

FAQs

Q1. What are silver prices?
A1. Elsewhere, spot silver gained 0.4 per cent to $38.28 per ounce, after hitting its highest level since September 2011 on Monday.

Q2. What are gold prices?
A2. Spot gold rose 0.6 per cent to $3,361.99 per ounce. U.S. gold futures were up 0.4 per cent to $3,371.30.