Wednesday, November 18, 2015

Filled Under: , , , , , , , , ,

Gold Retreated Sharply in the Domestic Market on Tuesday



http://www.researchvia.com/bullions-pack/
Bullions Tips - Gold futures retreated sharply in the domestic market on Tuesday as investors and speculators exited positions in the Expensive metal tracking a Slow trend in the overseas market amidst speculation that the deadly Paris terror attacks on Friday may have limited economic impact whilst nations confirm their resilience to fight and overcome the deadly menace of terrorism, dimming the lure for safe haven assets such as Gold.

Further, consumer prices in the US rose for the first time in three months in October, a sign that inflation was nearing the US Federal Reserve’s goal, bolstering the case for the world’s top central bank to ponder raising interest rates in December, for the first time in nearly a decade, curbing the lure for Gold as a store of value.

US consumer prices climbed 0.2 per cent in October 2015 from September 2015 when they fell 0.2 per cent. US core consumer prices rose 0.2 per cent for the second straight month in October, marking the strongest back-to-back gains since April and May.

A stronger dollar also dimmed the appeal of Gold as an Different asset. Stronger greenback makes Gold cheaper for those holding other currencies, thus dimming demand.

Gold futures may trade on a cautious note today as traders eye the FOMC minutes which may offer further cues over the likelihood of a December rate hike.

At the MCX, Gold futures for December 2015 contract closed at Rs 25,028 per 10 gram, down by 1.26 per cent after opening at Rs 25,290, against the previous closing price of Rs 25,347. It touched the intra-day low of Rs 24,960.

Read More - Bullions Tips


0 comments:

Post a Comment