Gold futures up 0.5% on short-covering

Gold futures prices staged a comeback to trade 0.52% higher at Rs 28,595 per 10 grams today, tracking a rebound in global markets.

At the Multi Commodity Exchange, December gold shot up by Rs 149, or 0.52%, to Rs 28,595 per 10 grams, with a business turnover of 4,650 lots.

The February contract also rose by Rs 129, or 0.45%, to Rs 28,915 per 10 grams, with a trade volume of 501 lots.

Market analysts attributed the recovery in gold futures to a firming trend overseas, where the precious metal recovered from three-week low.

Covering-up of short positions at prevailing levels also helped gold to trade higher, they said.

Meanwhile, spot gold prices recovered by 0.39% to $1,685.10 an ounce in the Asian region in early trade today.