Gold weakens in futures trade on global cues

Gold prices fell by Rs 150 to Rs 29,278 per 10 grams in futures trade today after participants reduced their positions, triggered by a weakening trend overseas.

At the Multi Commodity Exchange, gold for delivery in August traded lower by Rs 150, or 0.49%, to Rs 29,278 per 10 grams, with a business turnover of 4,364 lots.

Similarly, the metal for delivery in October lost Rs 139, or 0.47%, to Rs 29,616 per 10 grams, with a turnover of 302 lots.

Marketmen attributed the fall in gold prices at futures trade to a weak trend in overseas markets as strengthening dollar eroded the appeal of the precious metal as a hedge against inflation.

Meanwhile, gold declined 1.31% to $1,567.50 an ounce in New York last in previous session.