‘Gold & silver prices likely to see mild recovery next week’

New Delhi: Precious metal prices are likely to consolidate with a mild recovery bias next week after a sharp correction, though the upside may remain capped amid elevated interest rates and a firm US dollar, analysts said.

Investors will track key macroeconomic data, including provisional manufacturing and services PMI readings from the US, UK and Japan, along with consumer sentiment and jobless claims for direction.

Traders will also closely monitor oil price movement for further cues, they added.

“In the week ahead, gold price may see some consolidation and slight recovery before prices make their next move either side,” Pranav Mer, Vice President, EBG - Commodity & Currency Research, JM Financial Services Ltd, said.

In the domestic market, precious metal prices witnessed steep losses last week.

On the MCX, silver tumbled by Rs 32,663, or 12.59 per cent, to settle at Rs 2.26 lakh per kilogram, while gold dropped by Rs 13,974, or 8.82 per cent, to close at Rs 1.44 lakh per 10 grams.

In the global markets, precious metals also saw significant declines. Silver futures on Comex slumped by $11.68, or 14.36 per cent, to $69.66 per ounce, while gold plunged by $486.8, or 9.6 per cent, to $4,574.9 per ounce over the past week.