Profit booking pulls down bullion
03/02/2015 09:30
Gold futures ended lower in the domestic and overseas market on Monday as investors and speculators resorted to profit booking after a stellar rally in the previous session when speculation rose that the US Federal Reserve may refrain from raising interest rates in the near-term as the economy slows, bolstering the demand for the bullion as a store of value.
The slowest expansion in US manufacturing in a year in January and a fall in consumer spending last month signaled a weakening economic recovery in the world’s biggest economy.
However, a rebound in US equities curbed the demand for gold as an alternative asset.
Gold futures may rise today as investors eye US December factory orders data which may signal further weakness in the US economy, boosting safe haven demand for the bullion.
At the MCX, Gold futures for February 2015 contract closed at Rs 27,840 per 10 gram, down by 0.20 per cent after opening at Rs 27,946, against the previous closing price of Rs 27,895. It touched the intra-day low of Rs 27,723 till the closing.'
03/02/2015 09:30
Gold futures ended lower in the domestic and overseas market on Monday as investors and speculators resorted to profit booking after a stellar rally in the previous session when speculation rose that the US Federal Reserve may refrain from raising interest rates in the near-term as the economy slows, bolstering the demand for the bullion as a store of value.
The slowest expansion in US manufacturing in a year in January and a fall in consumer spending last month signaled a weakening economic recovery in the world’s biggest economy.
However, a rebound in US equities curbed the demand for gold as an alternative asset.
Gold futures may rise today as investors eye US December factory orders data which may signal further weakness in the US economy, boosting safe haven demand for the bullion.
At the MCX, Gold futures for February 2015 contract closed at Rs 27,840 per 10 gram, down by 0.20 per cent after opening at Rs 27,946, against the previous closing price of Rs 27,895. It touched the intra-day low of Rs 27,723 till the closing.'
