Gold price prediction: Will gold bounce back on Wednesday? Check outlook for November 4 - The Economic Times

AI desk brief

Article summary

Spot gold fell 0.3% to $3,948.75/oz and silver declined 0.2% to $49.67 in the reported session. Bank of America expects gold below $4,000 over the next three months and a fourth-quarter average of $4,000; its tracker indicates purchases by key buyers fell 16.6% year-on-year, with Indian imports down 77.8% and Chinese imports up 39.3%. The article cites World Gold Council figures showing second-quarter jewellery demand declines of 25% in the US, 15% in India and 28% in China, plus net gold sales through August of 82 tonnes by Turkey and 56 tonnes by Russia; BofA warns further central-bank selling is possible, not established. Prithvi Finmart’s Manoj Kumar Jain expects weekly volatility and support at $3,800 for gold and $45 for silver; the publication year is unspecified.

Market implications · analysis

If weaker purchases persist and additional official selling materialises, they could weigh on gold over the coming months. Conversely, the article’s lower-oil, less-restrictive-policy scenario could support gold if expected real yields fall, although lower inflation alone does not establish that outcome. Near-term direction remains mixed: the demand evidence is geographically uneven, further central-bank sales are conditional, and unspecified dates limit confidence in applying these figures to a current outlook.