Yellow metal slips on caution ahead of US jobs data
05/08/2016 15:26
Gold futures were trading lower during the afternoon trade in the domestic market on Friday as participants stayed cautious over booking fresh positions in the precious metal ahead of the crucial US July jobs data which could have a bearing on the timing of the US Fed’s next interest rate hike.
Analysts are expecting a 180K addition to US non-farm payrolls in July after a 287,000 increase in June. Solid jobs numbers may bolster the case for a rate hike in 2016.
Gold, which is a hedge against the inflationary risk of monetary stimulus, received support from fresh policy easing by Bank of England that cut interest rates to a record low and expanded asset purchases to help cushion Britain’s economy from the fallout of Brexit.
At the MCX, gold futures for August 2016 contract is trading at Rs 31,580 per 10 grams, down by 0.13 per cent, after opening at Rs 31,600, against a previous close of Rs 31,620. It touched the intra-day low of Rs 31,530 (at 15:14 hours).
05/08/2016 15:26
Analysts are expecting a 180K addition to US non-farm payrolls in July after a 287,000 increase in June. Solid jobs numbers may bolster the case for a rate hike in 2016.
Gold, which is a hedge against the inflationary risk of monetary stimulus, received support from fresh policy easing by Bank of England that cut interest rates to a record low and expanded asset purchases to help cushion Britain’s economy from the fallout of Brexit.
At the MCX, gold futures for August 2016 contract is trading at Rs 31,580 per 10 grams, down by 0.13 per cent, after opening at Rs 31,600, against a previous close of Rs 31,620. It touched the intra-day low of Rs 31,530 (at 15:14 hours).
