Bullion shines amidst dollar drop
24/04/2015 08:58
Gold futures surged in the domestic market on Thursday as investors and speculators booked fresh positions in the precious metal tracking a firm trend in the overseas market as a tumbling US dollar boosted the appeal of the bullion as an alternative asset.
Stronger greenback makes gold cheaper for those holding other currencies, thus bolstering demand.
Disappointing US factory, housing and labour market data signaled softness in the world’s biggest economy, boosting the case for the Federal Reserve to delay monetary tightening, and bolstering the lure for gold as a store of value. Thursday’s economic releases showed an uptick in US jobless claims last week, a drop in new home sales in March and slower gains in manufacturing in April.
Gold may trade on a subdued note today as investors stay cautious ahead of US durable goods orders data which will offer further cues over the economy’s health.
At the MCX, Gold futures for June 2015 contract closed at Rs 26,900 per 10 gram, up by 2.58 per cent after opening at Rs 26,640, against the previous closing price of Rs 26,624. It touched the intra-day high of Rs 26,917 till the closing.
24/04/2015 08:58
Gold futures surged in the domestic market on Thursday as investors and speculators booked fresh positions in the precious metal tracking a firm trend in the overseas market as a tumbling US dollar boosted the appeal of the bullion as an alternative asset.
Stronger greenback makes gold cheaper for those holding other currencies, thus bolstering demand.
Disappointing US factory, housing and labour market data signaled softness in the world’s biggest economy, boosting the case for the Federal Reserve to delay monetary tightening, and bolstering the lure for gold as a store of value. Thursday’s economic releases showed an uptick in US jobless claims last week, a drop in new home sales in March and slower gains in manufacturing in April.
Gold may trade on a subdued note today as investors stay cautious ahead of US durable goods orders data which will offer further cues over the economy’s health.
At the MCX, Gold futures for June 2015 contract closed at Rs 26,900 per 10 gram, up by 2.58 per cent after opening at Rs 26,640, against the previous closing price of Rs 26,624. It touched the intra-day high of Rs 26,917 till the closing.
