Flat finish for Gold
02/01/2015 09:09
Gold futures closed little changed in the domestic market on Thursday as most investors and speculators remained on the sidelines amidst lack of global cues as overseas markets were closed for the New Year Holiday. Sentiment in the precious metal, which fell last year, is likely to remain bearish as an improving US economic outlook amid a strengthening labour market pushes the US Federal Reserve to raise interest rates for the first time since 2006 most likely in mid-2015, dimming the appeal of the bullion as a store of value. The dollar’s surge to five-year highs will curb demand for the bullion as an alternative asset. Further, the freefall in oil prices has hit the demand for gold as a hedge against inflation. However, the resurfacing of Greek problems and a global slowdown may support the precious metal’s demand as a safe haven asset, cushioning the dip in the yellow metal’s prices. Gold futures may rise today as slowing growth from Europe to China boosts the demand for the precious metal as a protection of wealth. At the MCX, Gold futures for February 2015 contract closed at Rs 26,700 per 10 gram, down by 0.01 per cent after opening at Rs 26,698, against the previous closing price of Rs 26,703. It touched the intra-day low of Rs 26,670 till the closing
02/01/2015 09:09
Gold futures closed little changed in the domestic market on Thursday as most investors and speculators remained on the sidelines amidst lack of global cues as overseas markets were closed for the New Year Holiday. Sentiment in the precious metal, which fell last year, is likely to remain bearish as an improving US economic outlook amid a strengthening labour market pushes the US Federal Reserve to raise interest rates for the first time since 2006 most likely in mid-2015, dimming the appeal of the bullion as a store of value. The dollar’s surge to five-year highs will curb demand for the bullion as an alternative asset. Further, the freefall in oil prices has hit the demand for gold as a hedge against inflation. However, the resurfacing of Greek problems and a global slowdown may support the precious metal’s demand as a safe haven asset, cushioning the dip in the yellow metal’s prices. Gold futures may rise today as slowing growth from Europe to China boosts the demand for the precious metal as a protection of wealth. At the MCX, Gold futures for February 2015 contract closed at Rs 26,700 per 10 gram, down by 0.01 per cent after opening at Rs 26,698, against the previous closing price of Rs 26,703. It touched the intra-day low of Rs 26,670 till the closing
