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Gold Commentary By Mr. Navneet Damani, Senior VP – Commodities Research, Motilal Oswal Financial Services

“Gold continue move higher witnessing a sharp upside touching the $2000 level, investors rush towards the safe havens as increase in the tension between Russia and Ukraine and continuous updates regarding the war give a boost to the bullion prices. Talks between Russia and Ukraine officials were scheduled towards the end of last week where markets were expecting some relief and ease off in the ongoing tensions although no concrete outcome was witnessed in the same giving a boost in dollar and bullion prices. Over the weekend as well, news regarding strikes from Russia and retaliation from Ukraine, impact regarding near the nuclear plants also are influencing market participants to move out of riskier assets. Last week we also had the important U.S. jobs market data which was reported better than expectations. Non-farm payroll and unemployment rate showed a positive outlook for the economy although we did not witness much of a reaction on the market as geo-political uncertainties is the primary story. Economic calendar is muted for the day although focus for the week will be on the ECB policy meet, updates from fed officials and development in Russia-Ukraine situation. Broader trend on COMEX could be in the range of $1940 - 2040 and on domestic front prices could hover in the  range of Rs. 52,900 – above 54000 could be expected.”

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