Gold closes higher as dollar weakens
17/11/2014 09:45
Gold futures surged in the domestic market on Friday after investors locked in dollar gains from upbeat U.S. data and sold the greenback for profits. Gold and the dollar tend to trade inversely with one another. A weaker dollar boosted the appeal of gold as an alternative asset. Weaker greenback makes the bullion cheaper for those holding other currencies, thus bolstering demand. However, gains were curbed as holdings in gold backed exchange traded products (ETP) stretched the longest decline since last May, signaling plunging investment demand. Holdings in the SPDR, the largest exchange-traded product backed by the bullion, shrank for an eighth straight day to a six-year low of 720.62 metric tons Gold futures may fall amid profit booking after hefty gains in the previous session. Gold futures for December 2014 contract, at MCX, closed at Rs. 26,466 per 10 grams, up by 2.49 per cent, after opening at Rs. 25,826, against the previous closing price of Rs 25,822. It touched an intra-day high of Rs 26,531
17/11/2014 09:45
Gold futures surged in the domestic market on Friday after investors locked in dollar gains from upbeat U.S. data and sold the greenback for profits. Gold and the dollar tend to trade inversely with one another. A weaker dollar boosted the appeal of gold as an alternative asset. Weaker greenback makes the bullion cheaper for those holding other currencies, thus bolstering demand. However, gains were curbed as holdings in gold backed exchange traded products (ETP) stretched the longest decline since last May, signaling plunging investment demand. Holdings in the SPDR, the largest exchange-traded product backed by the bullion, shrank for an eighth straight day to a six-year low of 720.62 metric tons Gold futures may fall amid profit booking after hefty gains in the previous session. Gold futures for December 2014 contract, at MCX, closed at Rs. 26,466 per 10 grams, up by 2.49 per cent, after opening at Rs. 25,826, against the previous closing price of Rs 25,822. It touched an intra-day high of Rs 26,531
