Silver prices recovered moderately on renewed industrial demand while gold eased further on lack of local buying interest on the bullion market here today. | |
| Mild stockists offerings due to lower advices from international markets was also the main reason behind fall in gold prices. |
| |
| Silver ready (.999 fineness) recovered by Rs 25 per kilo to Rs 18,980 from the yesterday's closing level of Rs 18,955. |
| |
| However, standard gold (99.5 purity) slipped further by Rs 10 per ten grams to Rs 9,110 from Rs 9,120 previously. |
| |
| Pure gold (99.9 purity) also eased by a similar margin to Rs 9,155 from Rs 9,165 yesterday. |
| |
| In the global markets, Hongkong gold ended lower at $686.10/686.80 per ounce against $688.90/ 689.60 previously and in London, gold was also quoted lower in the morning at $685.90 per ounce against $688.80 per ounce. |
| |
| Bloomberg adds: Gold and silver prices fell for the first time in four sessions as the euro retreated against the dollar, reducing the appeal of the precious metals as alternative investments. Gold generally moves in the opposite direction of the dollar, which rose against the euro today for the first time in three sessions. Gold has moved in tandem with the euro 73 per cent of the time this year. Before today, the metal had climbed 8.2 per cent this year, and the euro had risen 3.1 per cent against the dollar. |
| |
| "Gold is headed lower because of the stronger dollar,'' said Leonard Kaplan, president of Prospector Asset Management in Evanston, Illinois. "There's a lot of resistance overhead.'' |
| |
| Gold futures for June delivery declined $2.90, or 0.4 percent, to $687.50 an ounce at 8:50 a.m. on the Comex division of the New York Mercantile Exchange. The price rose 1.2 per centlast week. |
| |
| Silver for July delivery dropped 14 cents, or 1 per cent, to $13.59 an ounce. Before today, the metal had gained 5.5 per cent this year. Gold climbed to an 11-month high of $698 an ounce on April 20 as the euro headed to a record against the dollar. |
| |
| Five of the past six bear markets in the US currency have resulted in a higher gold price. |
| |
| A futures contract is an obligation to buy or sell a commodity at a set price for delivery by a specific date. |
| |
|
| |
