Bullions add more than 1%

Bullion metal prices ended moderately higher on Wednesday, 12 June 2013. Comex gold futures prices ended the U.S. day session with moderate gains Wednesday. A weaker U.S. dollar index and a firmer crude oil market were bullish outside markets that prompted buying in the yellow metal.

Gold for August delivery ended higher by $15 (1.1%) at $1,392 an ounce on the Comex division of the New York Mercantile Exchange on Wednesday. Earlier, it dropped to a low of $1,372.2.

July silver ended higher by $0.28 cents (1.2%) at $21.65 an ounce on Wednesday.

The world market place was calmer on Wednesday. Industrial production in the Euro zone rose by 0.4% in April from March, for the third straight monthly rise. This report supported the Euro currency and ideas the Euro zone collective economy is on the mend, albeit slowly. Japan's Nikkei stock index was down again Wednesday and is now off around 16% from its high scored last month. The markets in China were closed for a public holiday on Wednesday.

In the currency market, the dollar index, which weighs the strength of the dollar against a basket of six other currencies, fell by 0.2% on Wednesday.

Regarding economic data expected at Wall Street, the weekly MBA Mortgage Applications Index rose 5.0% to follow the prior week's decline of 11.5%. The May Treasury Budget showed a deficit of $138.7 billion, which was slightly ahead of the deficit of $139.0 billion expected by the consensus.

At the MCX, gold prices for August delivery closed higher by Rs 60 (0.2%) at Rs 27,952 per ten grams. Prices rose to a high of Rs 27,997 per 10 grams and fell to a low of Rs 27,601 per 10 grams during the day's trading.

At the MCX, silver prices for July delivery closed lower by Rs 65 (0.14%) at Rs 43,546/Kg. Prices opened at Rs 43,700/kg and fell to a low of Rs 43,165/Kg during the day's trading.

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