Gold futures down on global cues

Political turmoil in Greece weighed on the metal, strengthened demand for the greenback

Gold prices fell by Rs 236 to Rs 28,442 per 10 gm in futures trade today as speculators offloaded their positions on the back of weak trend in global markets.

Sentiment damped after gold dropped to a four-month low in New York as deepening political turmoil in Greece boosted the appeal of the dollar as a safe haven and curbed demand for precious metals as alternative assets.

At the MCX, gold for delivery in June fell by Rs 236, or 0.82%, to Rs 28,442 per 10 gm in business turnover of 10,992 lots.

The August contract moved down by Rs 213, or 0.73%, to Rs 28,862 per 10 gm in 774 lots.

Market analysts said speculators offloaded their positions on the back of weak trend in overseas markets mainly led to fall in gold prices at futures trade.

Meanwhile, gold fell by $15.40 to $1,589.40 an ounce in New York last night on COMEX.