The African Standard bank released its daily commodities analysis and report for September 11. Gold remained under selling pressure while $1,360 per ounce level supported gold from further dipping. During the Asian trading hours, the yellow metal attempted to rally, but faced selling pressure around $1,370. The physical demand on gold remain healthy and it should provide support if the price decline.
The key support for gold is at its 100-day Moving Average (MA) at $1,358, with additional support at $1,355. It’s expected for the price of gold to hold within range between $1,358 and $1,400 ahead of the Federal open Market Committee (FOMC) next week’s meeting.
The market expects the Feds to announce the start of tapering the current monetary policy this month. The question among the market participants and analysts is about the rate of tapering and how much the Fed will taper. Tapering by any amount less than $10 billion per month would be considered relatively bullish for the current prices, while tapering more than $15 billion per month would be considered bearish.
COMEX gold future for December delivery settlement was at $1,375.10, DGCX gold future for October delivery was at $1,377.20, CBOT gold for December delivery at $1,386.70 and TOCOM gold for June delivery was at ¥4,430 per gram.