Gold and Silver Bullion Updates | 20th June

Gold stayed steady after the release of new US economic data that provided mixed signals on the timeline for the Federal Reserve's potential move toward monetary easing. There was minimal activity in gold on Wednesday because US stock markets were closed in observance of Juneteenth. Gold has been trading in a narrow range since Federal Reserve officials announced they will only lower rates once this year, rather than the three cuts previously forecasted in March.

The overall amount of gold owned by ETFs decreased by 5.5 percent this year to 80.9 million ounces. Gold's price has increased by 13 percent this year to $2,329.46 per ounce and by 0.4 percent in the most recent trading session. In the previous trading session, State Street's SPDR Gold Shares, the largest ETF for precious metals, kept its holdings stable. The fund holds 26.5 million ounces worth $61.8 billion in the market. In the most recent trading session, ETFs reduced their silver holdings by 1.17 million troy ounces, resulting in total net sales of 14 million ounces for the year.

Core perspective:

•  The cost of gold and silver is currently elevated on the global stock exchanges. Gold and silver prices are anticipated to remain range-bound or increase during the day.
• Gold prices saw a slight increase after ending the last session nearly unchanged, it is expected to stay in a holding pattern until the Federal.
  
• The direction of the Reserve's monetary policy is becoming more defined.