..... . VALI disclosures . .....: 18/12/25, Gold Price

Thursday, December 18, 2025

18/12/25, Gold Price

Gold price today: The rates of gold and silver declined in the domestic futures market on Thursday morning (December 18) due to profit booking at record high levels amid a mild uptick in the US dollar, ahead of the US CPI inflation data.

MCX gold February contracts were 0.20% down at ₹1,34,619 per 10 grams around 9:20 am. MCX silver March contracts were 0.47% down at ₹2,06,451 per kg at that time.

On Wednesday, MCX gold February futures closed 0.36% higher at ₹1,34,894 per 10 grams. MCX silver March futures hit a record high of ₹2,07,833 and closed 4.9% higher at ₹2,07,435 per kg in the previous session.

The focus of investors is now on the US Consumer Price Index (CPI) data for November, which is due later today, and the Personal Consumption Expenditures price index data on Friday.

The inflation prints will shape the expectations of the interest rate trajectory of the US Federal Reserve. Gold prices may move higher if inflation prints come below expectations.

Meanwhile, job market trends indicate the US Fed may reduce rates by 25 bps in January. On Tuesday, data showed that the US unemployment rate rose to 4.6% in November, the highest since September 2021.

The Bank of Japan's (BoJ) policy decision on Friday is expected to trigger some volatility in markets, as the BoJ is widely anticipated to raise its benchmark rate to its highest level in three decades.

"Gold and silver prices remain volatile ahead of the BOJ policy meeting, but they could hold their key support levels of $4,140 per troy ounce and $57.20 per troy ounce, respectively," said Manoj Kumar Jain of Prithvifinmart Commodity Research.

Gold and silver: Key levels to watch

Aksha Kamboj, Vice President at India Bullion and Jewellers Association (IBJA) and Executive Chairperson of Aspect Global Ventures, pointed out that the gold price has slightly recovered its lost ground amid continued global uncertainty. Buyers continue to step in on dips, with traders closely watching interest-rate cues and currency movements.

"The sentiment remains cautiously positive, as the yellow metal is well placed at higher levels. In the near-term, the price action in the metal may continue to be supported, more for global risk perception than speculative activity," said Kamboj.

According to Jain, gold has support at $4,340 and $4,300, while resistance is at $4,400 and 4,440 per troy ounce. Silver has support at $65.00 and $63.60, while resistance is at $68.20 and $70.00 per troy ounce in today's session.

On the MCX, Jain sees support for gold at ₹1,34,200 and ₹1,33,650 and resistance at ₹1,35,500 and ₹1,36,300. MCX silver has support at ₹2,04,4400 and ₹2,02,000, and resistance is at ₹2,10,000 and ₹2,14,000, said Jain.

"We suggest buying gold in the range of ₹1,34,400 to ₹1,34,000 with a stop loss of ₹1,33,300 for the target of ₹1,35,500 and ₹1,36,200 and silver on dips in the range of ₹2,05,000 to ₹2,02,000 with a stop loss of ₹1,98,800 for the target of ₹2,10,000 and ₹2,14,000," said Jain.

According to Rahul Kalantri, VP of commodities at Mehta Equities, gold has support at $4,275 and $4,245, while resistance is at $4,355 and $4,385. Silver has support at $65.40 and $64.7,5 while resistance is at $66.90 and $67.75.

In INR, Kalantri said gold has support at ₹1,33,850 and ₹1,33,110 while resistance is at ₹1,35,350 and ₹1,35,970. Silver has support at ₹2,05,650 and ₹2,03,280, while resistance is at ₹2,08,810 and ₹2,10,270.

source: Mint

Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.

No comments:

Trade Cycles

The four important features of Trade Cycle are (i) Recovery, (ii) Boom, (iii) Recession, and (iv) Depression!

The trades cycle or business cycle are cyclical fluctuations of an economy. A full trade cycle has got four phases: (i) Recovery, (ii) Boom, (iii) Recession, and (iv) depression. The upward phase of a trade cycle or prosperity is divided into two stages—recovery and boom, and the downward phase of a trade cycle is also divided into two stages—recession and depression.

Phases of Trade Cycle:

The phases of trade cycle are explained with a diagram:

(1) Recovery:

In the early period of recovery, entrepreneurs increase the level of investment which in turn increases employment and income. Employment increases purchasing power and this leads to an increase in demand for consumer goods.

As a result, demand for goods will press upon their supply and it shall, thereby, lead to a rise in prices. The demand for consumer’s goods shall encourage the demand for producer’s goods.

The rise in prices shall depend upon the gestation period of investment. The longer the period of investment, the higher shall be the price rise. The rise of prices shall bring about a change in the distribution of income. Rent, wages, interest do not rise in the same proportion as prices.

Consequently, the margin of profit improves. The wholesale prices rise more than retail prices. The prices of raw materials rise more than the prices of semi-finished goods and the prices of semi-finished goods use more than the prices of finished goods.

(2) Boom:

The rate of investment increases still further. Owing to the spread of a wave of optimism in business, the level of production increases and the boom gathers momentum. More investment is possible only through credit creation. During a period of boom, the economy surpasses the level of full employment and enters a stage of over full employment.

(3) Recession:

The orders for raw materials are reduced on the onset of a recession. The rate of investment in producers’ goods industries and housing construction declines. Liquidity preference rises in society and owing to a contraction of money supply, the prices falls. A wave of pessimism spreads in business and those markets which were sometime before sellers markets become buyer’s markets now.

(4) Depression:

The main feature of a depression is a general fall in economic activity. Production, employment and income decline. The prices fall and the main factor responsible for it is, a fall in the purchasing power.

The distribution of national income changes. As the costs are rigid in nature, the margin of profit declines. Machines are not used to their full capacity in factories, because effective demand is much less. The prices of finished goods fall less than the prices of raw materials.

✳Reality Tips to Traders

1)Trading in the stock market is a marathon. 2)Protecting your capital is key. (Learn to protect first) 3)Making 0 on the day is better than losing 50k 4)Losses happen; they are part of this business. 5)It’s not you vs. the market. It’s you VS you. 6)You are your biggest enemy; learn to be mentally disciplined. 7)Don’t follow the majority; follow the correct path. 8)Traders without a stop loss end up not being traders for long. 9)There is always another trade. 10)The big money is made waiting for the right set-ups. 11)Waiting for the right trade is the most powerful strategy. 12)It is better to cut a loss than to wait to be proven right. 13)Position sizing can make or break you. 14)Worry about the downside before you even think about the upside. 15)Don’t listen to headlines

..BANKING TERMINOLOGY

There are various types of Banks: PSU Banks, Private Banks, Co-operative/Regional Banks, Small Finance Banks and Foreign Banks. When you deposit money in a bank, let's say the bank gives you an interest rate of 4%. But when the bank lends out this money, they lend it out at say, 12%. The difference of 8% in the above scenario is effectively the profit of the bank! The loans that do not pay interest for 90 days are known as Non-performing Assets. Banks have to provide for such bad loans. Structure of a Bank Asset for a Bank: The asset portion of a bank's capital includes cash, government securities, and interest-earning loans (e.g., mortgages, letters of credit, and inter-bank loans). Liabilities for a Bank: The bank's main liabilities are its capital (including cash reserves and, often, subordinated debt) and deposits. The latter may be from domestic or foreign sources (corporations and firms, private individuals, other banks, and even governments). Banks are required to maintain Liquidity with the Reserve Bank of India: SLR (Statutory Liquidity Ratio): It is the money a bank needs to preserve in the form of cash, gold or government Bonds before providing credit customers. This limitation is added by RBI on banks to make funds available to customers on-demand at your earliest convenience. Banks are required to maintain SLR at 18%. CRR (Cash Reserve Ratio): Banks are required to hold a certain proportion of their deposits in the form of cash. Banks don’t hold these as cash with themselves, but deposit such amounts with RBI / currency chests. CRR rate is at 4.5% currently. Repo Rate: The rate at which the RBI lends short-term money to the banks. The RBI through its Monetary Policy committee changes the repo rate to balance growth and Inflation. Reverse Repo rate: The rate at which banks park their short-term excess liquidity with the RBI. Now let us understand various terminologies for Banks Net Interest Income (NII): This is the spread the bank makes on its lending. It is calculated as Interest Income – Interest Expended Net Interest Margin (NIM): This is the spread the bank makes on its lending. It is the earning which is left after deducting the cost paid to depositors from its yields on Loans. This is denoted in % terms. The formula is Yield on Loans – Cost of funds Capital Adequacy Ratio (CAR): The capital adequacy ratio (CAR) is a measure of a bank's available capital expressed as a percentage of a bank's risk-weighted credit exposures. Essentially, it is the Capital that is available to lend. Tier I Capital – In simple words this capital is freely available with the bank to lend out. Tier II Capital- This is the capital tied up somewhere and is less freely available to lend. In case of an adverse event, the bank can use this capital to lend. Under Basel III norms, a bank’s tier 1+tier 2 capital must be a minimum of 8% of its risk-weighted holdings. The minimum capital adequacy ratio, also including the capital conservation buffer, is 10.5%. Current Account Saving Account (CASA)- There is no interest paid on the Current Account and a small interest rate is paid on a savings account. The combination of both is called CASA which shows the liabilities of the bank on which it pays relatively less interest. Deposits: Bank deposits are a savings product that customers can use to hold an amount of money at a bank for a specified length of time. In return, the financial institution will pay the customer the relevant amount of interest, based on how much they choose to deposit and for how long. Now let us come to NPA. Gross NPA (GNPA): It is the total loans on which no payment has been paid for 90 days or more. GNPA % is usually shown in each Bank’s quarterly results. The percentage is basically the GNPA amount as a % of the total advances. Slippages: Slippages denote the fresh amount of loans that have turned bad in a year. The slippage ratio of a bank is calculated as Fresh accretion of NPAs during the year /Total standard assets at the beginning of the year multiplied by 100. Provisioning Coverage Ratio (PCR): This is the ratio of provisioning to GNPA and indicates the extent of funds a bank has kept aside to cover loan losses. For Instance, a company has GNPAs of Rs 100 and they have set aside 50 Rs, then the PCR is 50%. Net NPA (NNPA): The total figure left after deducting provisions made for bad loans from GNPA. (GNPA – Provisions+upgrades/writeoffs = NNPA) Special Mention Account (SMA) SMA-0 is a category in which stress with respect to the principal and interest has remained overdue for a period of 0 to 30 days. SMA-1 is a category in which stress with respect to the principal and interest has remained overdue for a period of 30-60 days. SMA-2 is a category in which stress with respect to the principal and interest has remained overdue for a period of 60-90 days

..... . VALI disclosures . .....

Pages

logo

Thursday, December 18, 2025

18/12/25, Gold Price

No comments:

Today's

19/12/25, SENSEX, NIFTY

.

Translate