• Concerns over the Russia-Ukraine peace deal and expectations of dovish comments from Fed Chair Powell at the Jackson Hole symposium have caused gold and silver to continue their downward trend due to the likelihood of reducing geopolitical tensions.
• President Zelensky of Ukraine and Russian President Vladimir Putin may soon meet. The meetings with Donald Trump were hailed by Ukrainian President Zelenskiy, who described them as a major step toward ending the current conflict and opening the door for possible talks with Russian President Putin.
• However, market players are simultaneously expecting that Powell will clue them in his speech as to whether a rate cut is likely at the meeting in September. Two 25 basis point rate reductions are anticipated this year, according to FED probability, with the first one possibly taking place in September.

Technical Triggers

• Gold seems to continue its downward trajectory after sustaining below $3400. Next target is $3340 (~Rs 98500), while $3445 (~Rs 100,500) remains the resistance
• As Silver prices have broken their support of $37.5(~Rs 112,500), prices are expected to fall towards $36.50 (~Rs 109,500).

Support and Resistance

• Gold prices slightly declined below $3380 (Rs 99400) as investors’ attention was drawn to the Federal Reserve’s annual Jackson Hole symposium and US President Donald Trump’s meeting with European and Ukrainian leaders.
• In a White House meeting with President Zelensky, alongside European and NATO officials, President Trump voiced hope that the war in Ukraine would be over.
• After the negotiations, he claimed, the US will be “involved” in keeping the ceasefire and would call Russian President Putin.
• Amidst mounting anticipation for a September interest-rate decrease, markets will be closely observing Federal Reserve Chair Jerome Powell’s forthcoming statements at the Jackson Hole Symposium as well as the minutes from the Fed’s most recent meeting.

Technical Triggers

• Gold seems to continue its downward trajectory after sustaining below $3400. Next target is $3340 (Rs 98500), while $3445 (Rs 100,500) remains the resistance
• Silver prices are expected to consolidate in a range of $37.5(Rs 112,500) to $39(~Rs 115,000).

Gold prices edged lower to around $3,330 in early Asian trading on Monday, pressured by stronger-than-expected US economic data. The drop comes ahead of a key meeting later in the day between US President Donald Trump and Ukrainian President Volodymyr Zelenskiy, which traders are watching closely for geopolitical signals.

Last week’s US Producer Price Index (PPI) rose 3.3% year-on-year in July, well above market expectations of 2.5% and the previous 2.4%. The hotter-than-expected inflation reading reduced bets on a potential Federal Reserve rate cut in September, creating headwinds for the yellow metal.

Adding to the picture, US Retail Sales grew 0.5% month-on-month in July, matching forecasts but slightly below June’s upwardly revised 0.9%.

While strong economic data pressures gold, safe-haven demand linked to geopolitical tensions may limit further downside in the near term.