NEW DELHI: Gold prices are likely to move towards a new high of Rs 70,000, as per a report by ICICI Direct, while silver, remaining supported amid rising industrial demand, may edge higher towards Rs 85,000.

Gold prices are likely to rise further on the back of weak dollar and decline in US treasury yields. Dollar and yields have nosedived on anticipation that US Fed will start cutting rates as soon as March 2024.

Concerns over slower global economic growth and escalating geopolitical tensions in Middle East may continue to make gold valuable as hedge against uncertainties, the report said.

Additionally, central banks are likely to continue with their buying spree, diversifying their reserves.

Crude oil to face hurdle near $90 on weaker demand, the report said.

Crude oil prices are likely to remain in a range of $60-$90 as market may remain in balance as it is less likely that OPEC may extend the voluntary output cuts combined with rising production in non-OPEC countries.

Additionally, global oil demand growth is likely to slow given uncertainty over economic growth. Escalating tension in Middle East may prevent oil prices from dipping below $60. MCX Crude oil prices may dip further towards Rs 5,000 levels in coming month, the report said.