Gold futures move up
Gold for June contract gained further by Rs 87 at Rs 12,434 per 10 gm, after moving between Rs 12,466 and Rs 12,353. The contract has registered a business of 7,727 kg. The precious metal for August contract further gained Rs 85 at Rs 12,470 per gm and recorded a business volume of 490 kg.
Trading sentiment turned bullish following reports that the precious metal in London climbed, extending this month's rally, on speculation that declines in the dollar and rising commodity prices would spur inflation, reviving demand for the metal as a hedge.
"The price movement in gold will be rangebound before the US Federal Open Market report on monetary policy, to be announced on Wednesday," said a Delhi-based analyst Ravi Jalan.
He said the metal was more linked with international movements, adding "the rising crude oil to record and falling dollar will remain a driving force behind gold." In Delhi, the gold surged by Rs 180 at Rs 12,680 per 10 gm. The metal rose for the fourth straight session and gained Rs 620 on 10 gm.