The gold futures market trading on the Bursa Malaysia Derivatives is projected to remain quiet in the coming week. Experts and analysts believe that the market will be silent due to the lack of any formidable catalyst.
One dealer said that the US COMEX prices are expected to remain supported due to the rise of COVID-19 cases, which will also suppress the number of jobs created in the near term.
Gold traders are most likely going to follow cues from the Federal Reserve’s next announcement. Also, the Federal Open Market Committee (FOMC) will meet next on September 21-22 and is expected to affect the gold markets.
The local gold market was left untraded for the week that just ended. Based on the Friday-to-Friday outlook, Bursa Malaysia’s gold futures contract for September 2021, October 2021, November 2021, and December 2021 all remained at RM 255.00 per gram. The volume and open interest were also nil.
In the meantime, the price of physical gold dropped slightly from a week earlier. In other markets like India, the traders have adopted a standby strategy keeping an eye on the markets awaiting the next price action.
The bears and bulls are still struggling around $1,750, and analysts believe that if the Delta variant of COVID-19 continues to ravage the world, the precious yellow metal will surge towards $1,900.