The precious metal Gold was trading a bit lower in Indian commodity markets on December 18, tracking the subdued trend in international spot prices. On the Multi-Commodity Exchange (MCX), February gold contracts were trading lower by 0.24 percent at Rs 50,270 per 10 gram during morning session, while March silver was trading 0.58 percent lower at Rs 67,873 per kilogram.
Analysts say gold is likely to remain volatile and declines can be used as a buying opportunity. The metal has support at Rs 50,050, while resistance is at Rs 50,920. On December 17, gold and silver extended gains after the US Federal Reserve kept key interest rates unchanged and extended its bond-buying programme to support the economy.
Gold also got a boost from the weakness in the dollar index, downbeat US unemployment claims and Philly Fed manufacturing data, stimulus hopes and concern of higher global inflation next year, experts say. The Federal Open Market Committee meeting that ended December 16 saw the Fed leave interest rates unchanged and this may continue well into 2023.
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