Business Standard

Gold eases from 1-month high, traders seek more

Price falls not enough for traders seeking to stock up for upcoming festival season

Related News

Indian futures eased from their highest level in a month, weighed by a stronger rupee, but price falls were not enough for traders seeking to stock up for the upcoming festival season.

* The most-active gold for October delivery on the Multi Commodity Exchange (MCX) was 0.27 percent lower at 30,116 rupees per 10 grams at 0932 GMT, easing from the previous day's high of 30,325 rupees, its highest level since June 28.

* The rupee, which traded stronger, plays an important role in determining the landed cost of the dollar-quoted yellow metal.

* "Demand is still poor... wholesalers are selling gold at a discount," said Mayank Khemka, managing director, Khemka Group of Companies. "I doubt whether demand will pick up and could pick up only if prices fall to 28,000 rupees."

* Physical demand has been subdued so far this year and is expected to remain dull.

* The festival season starts in August in India, the world's biggest gold buyer in 2011, and continues till November.

* Traders are also eyeing the monsoon forecast for the second half of the June-September season, which is vital to gold demand in rural areas.

* Monsoon rains, which have been below normal so far, are vital to the farm economy in rural areas, which account for 60 percent of gold demand.

* September on the was 0.36 percent lower at 53,778 rupees per kg.

 

Read more on:   
|
|
|
|

Gold eases from 1-month high, traders seek more

Price falls not enough for traders seeking to stock up for upcoming festival season

Indian gold futures eased from their highest level in a month, weighed by a stronger rupee, but price falls were not enough for traders seeking to stock up for the upcoming festival season.

Indian futures eased from their highest level in a month, weighed by a stronger rupee, but price falls were not enough for traders seeking to stock up for the upcoming festival season.

* The most-active gold for October delivery on the Multi Commodity Exchange (MCX) was 0.27 percent lower at 30,116 rupees per 10 grams at 0932 GMT, easing from the previous day's high of 30,325 rupees, its highest level since June 28.

* The rupee, which traded stronger, plays an important role in determining the landed cost of the dollar-quoted yellow metal.

* "Demand is still poor... wholesalers are selling gold at a discount," said Mayank Khemka, managing director, Khemka Group of Companies. "I doubt whether demand will pick up and could pick up only if prices fall to 28,000 rupees."

* Physical demand has been subdued so far this year and is expected to remain dull.

* The festival season starts in August in India, the world's biggest gold buyer in 2011, and continues till November.

* Traders are also eyeing the monsoon forecast for the second half of the June-September season, which is vital to gold demand in rural areas.

* Monsoon rains, which have been below normal so far, are vital to the farm economy in rural areas, which account for 60 percent of gold demand.

* September on the was 0.36 percent lower at 53,778 rupees per kg.

 

image

Read More

Silver falls 0.32% on weak global cues

Silver prices drifted by Rs 191 to Rs 58,782 per kg in futures trade today as speculators offloaded their positions, tracking a weak global trend.

Recommended for you

Advertisements

Quick Links

Market News

Sangam (India) zooms over 50% in four days on stake hike by promoter

The stock is currently trading at its record high of Rs 125 and has rallied 54% from Rs 81 on May 19.

Sagar Cements surges after turnaround in Q4

The stock surged 16% to Rs 408 after reported net profit of Rs 21.70 crore in March quarter against loss of Rs 11.36 crore in the year ago ...

SBI pares early gains post Q4 results

The stock surged 5% to Rs 305 after reported 23% year on year jump in standalone net profit at Rs 3,742 crore in March quarter.

Markets hold gains amid firm global cues

Sensex has soared 214 points to trade at 28,023 levels while the Nifty has surged 55 points to quote at 8,476 mark

RCF declines as Q4 profit halves

The stock dipped 5% to Rs 58.25 after reporting a 56.5% year-on-year decline in net profit at Rs 66 crore in the March quarter.

 

Back to Top