Bullion remains hobbled by stronger dollar
31/03/2015 12:57
Gold futures fell in the domestic market on Tuesday as investors and speculators exited positions in the precious metal tracking a bearish trend in the overseas market as a stronger dollar curbed the demand for the bullion as an alternative asset. Stronger greenback makes gold more expensive for those holding other currencies, thus dimming demand.
Investors are bracing for a maiden US interest rate hike since 2006 as Fed Chair Janet Yellen last week saw monetary tightening beginning later this year, dimming the appeal of gold as a store of value.
At the MCX, Gold futures for April 2015 contract is trading at Rs 26,186 per 10 gram, down by 0.32 per cent after opening at Rs 26,208, against the previous closing price of Rs 26,270. It touched the intra-day low of Rs 26,160. (At 12:27 PM).
31/03/2015 12:57
Gold futures fell in the domestic market on Tuesday as investors and speculators exited positions in the precious metal tracking a bearish trend in the overseas market as a stronger dollar curbed the demand for the bullion as an alternative asset. Stronger greenback makes gold more expensive for those holding other currencies, thus dimming demand.
Investors are bracing for a maiden US interest rate hike since 2006 as Fed Chair Janet Yellen last week saw monetary tightening beginning later this year, dimming the appeal of gold as a store of value.
At the MCX, Gold futures for April 2015 contract is trading at Rs 26,186 per 10 gram, down by 0.32 per cent after opening at Rs 26,208, against the previous closing price of Rs 26,270. It touched the intra-day low of Rs 26,160. (At 12:27 PM).
