‘Gold’s record run faces test as focus shifts to US data and Fed rate cut signals’

New Delhi: Gold prices, which scaled record highs in the domestic market last week, are likely to face a crucial test in the coming days with investors watching US macroeconomic data and geopolitical tensions for cues on the trajectory of the precious metal, analysts said.

Upcoming US employment data, PMI readings from major economies, and speeches of several Federal Reserve officials will also be watched, they said.

“In the week ahead, focus will be on the manufacturing/services PMI data from across regions and the US employment data. Festive demand in India and uncertainty over the Russia-Ukraine peace deal as well as straining India-US relations, will also drive market sentiment,” Pranav Mer, Vice President, EBG — Commodity & Currency Research, JM Financial Services, said.

On Friday, the most-traded gold futures for October contract soared to an all-time high of Rs 1,04,090 per 10 grams on the MCX before settling near record levels. In the global markets, Comex gold futures for the December contract settled 1.20 per cent higher at $3,530.70 per ounce in New York on Saturday, just shy of its historic peak of $3,534.10 per ounce hit on August 8.