Indian Gold Rates Marginally Bearish: USA Is Strict Against Russia, On Ukraine Issue

In March, the USA Federal Reserve can increase its interest rate, and as a result, the gold rates might ease at that time globally. However, at the current moment, gold markets, globally are booming due to Russia-Ukraine geopolitical crisis. Joe Biden, the US President has announced that they are going to imposed sanctions on Russia after it came to light that Russia has around 190,000 troops at the Ukrainian border and they are going militant further. In addition to that, Germany is also halting certification on a key oil pipeline in Russia. Hence, internationally, equity markets are 'on war footing' now. On the other hand, the assets markets, for example, silver, gold, and platinum markets are showing bullish trends.

Commenting on the present rally of gold markets, Analyst Jim Wyckoff told Kitco News, "Gold and silver prices are higher in midday US trading Tuesday. Gold prices hit an 8-month high today and silver a 4-week high as risk aversion is elevated and geopolitics are on the front burner of the marketplace. Gold and silver bulls are feeling confident at present, amid safe-haven demand being stronger and the charts being friendly."
About the upcoming price trends, traders are having mixed opinions. According to analysts, "Bulls' next upside price objective is to produce a close above solid resistance at the May 2021 high of $1,922.40. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $1,850.00." The prices are estimated much above the psychological high level now, due to the Russia-Ukraine crisis.

Indian gold rates, on the other hand, has dropped marginally today, on February 23. Gold rates have fallen by around Rs. 250-280/10 grams, as per IBJA's decision. The 22 carat gold prices are quoted at Rs. 46,000/10 grams, and the 24 carat gold rates are quoted at Rs. 50,180/10 grams.

The Comex gold futures fell by 0.50% and were quoted at $1896.60/oz, till last traded. On the earlier day, Comex gold futures closed at $1906.10/oz. The spot gold prices were quoted at $1898.70/oz, falling by 0.04%, till last traded. The US dollar index in the spot market stood at 96.08, gaining only by 0.01%. However, in India, the MCX gold in April future quoted at Rs. 50,120/10 grams, falling by 0.41%, till last traded.