Precious metals end lower

Prices witness some correction from recent gains

Bullion metal prices ended lower on Tuesday, 23 July 2013 at Comex. Prices fell from recent highs on Tuesday due to some correction. Somewhat adding to the mildly negative daily tone in gold Tuesday were reports late Monday that India's government will add further restrictions on the importation of gold, in order to reduce its current account deficit.

Gold for August delivery ended lower by $1.3 (0.1%) at $1,334.7 an ounce on the Comex division of the New York Mercantile Exchange on Tuesday.

September silver ended lower by $0.26 (1.2%) at $20.25 an ounce on Tuesday.

It was another quiet, summertime day in the market place on Tuesday. Overnight, Asian stock markets were supported on reports that China's premier said China's economic growth needs to be above a 7% annual pace in order to reach China's goal of doubling the size of its economy this decade. Last week, China's second-quarter GDP was reported at a 7.5% annual clip. The premier's comments suggested China will focus more on economic stimulus. A key Chinese manufacturing report is due out Wednesday. European stocks were also lifted modestly on the China news.

The U.S. dollar index, which weighs the strength of the dollar against a basket of six other currencies, fell by 0.2% on Tuesday.

Among economic data expected at Wall Street today, it was limited to the May FHFA Housing Price Index, which increased 0.7% to follow a 0.5% uptick observed during the prior month.

At the MCX, gold prices for August delivery closed higher by Rs 14 (0.05%) at Rs 27,574 per ten grams. Prices rose to a high of Rs 27,668 per 10 grams and fell to a low of Rs 27,453 per 10 grams during the day's trading.

At the MCX, silver prices for September delivery closed lower by Rs 380 (0.9%) at Rs 41,854/Kg. Prices opened at Rs 42,061/Kg and fell to a low of Rs 41,711/Kg during the day's trading.

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