Stronger dollar hits bullion
04/08/2016 13:47
Gold futures fell during noon trade in the domestic market on Thursday as investors and speculators exited positions in the precious metal tracking losses overseas as a stronger dollar curbed the lure for the bullion as an alternative asset.
Stronger greenback makes gold more expensive for those holding other currencies, thus dimming demand.
A pickup in US private employment growth in July suggested a firm labour market recovery, bolstering the case for the Fed to raise interest rates before the end of the year, dimming the lure for gold as a store of value.
At the MCX, gold futures for August 2016 contract is trading at Rs 31,495 per 10 grams, down by 0.36 per cent, after opening at Rs 31,506, against a previous close of Rs 31,608. It touched the intra-day low of Rs 31,472 (at 13:41 PM).
04/08/2016 13:47
Stronger greenback makes gold more expensive for those holding other currencies, thus dimming demand.
A pickup in US private employment growth in July suggested a firm labour market recovery, bolstering the case for the Fed to raise interest rates before the end of the year, dimming the lure for gold as a store of value.
At the MCX, gold futures for August 2016 contract is trading at Rs 31,495 per 10 grams, down by 0.36 per cent, after opening at Rs 31,506, against a previous close of Rs 31,608. It touched the intra-day low of Rs 31,472 (at 13:41 PM).
