Gold, silver recover slightly after sell-off: What to watch this week - CNBC TV18

AI desk brief

Gold and silver recovered only marginally on Monday after steep weekly losses, with COMEX gold at $4,009.50/oz (+$1.60) and silver at $54.150/oz (+$0.201). Last week, gold fell $173.20/oz (-4.14%) to $4,007.90 and silver dropped $3.35/oz (-nearly 6%) to $53.95, while MCX December gold and silver settled around ₹1.42 lakh/10g and ₹1.96 lakh/kg after declines of 4% and 7.14%, respectively.

Near-term price action is centered on the Oct. 27-28 Fed meeting, with traders focused on whether policy language turns more hawkish or leaves room for easing. Elevated Treasury yields and a stronger dollar remain the main headwinds for bullion, while Brent above $115/bbl keeps inflation concerns alive; a less hawkish Fed could trigger short covering, but a hawkish signal would likely extend pressure on gold and silver.

Silver is additionally under pressure from weaker industrial metals sentiment and softer fabrication demand, making it more vulnerable than gold if growth expectations deteriorate. Investors will also watch US core PCE, Q3 GDP, durable goods, consumer confidence, ECB/BoJ decisions, geopolitics, and festive Dhanteras demand in India.