Bullions Tips - Gold prices closed lower in the domestic market on Monday as investors and speculators exited positions in the precious metal amidst heightened caution ahead of the US Federal Reserve’s two-day monetary policy meet beginning on Tuesday, in which the world’s biggest central bank is poised to raise interest rates for the first time in almost a decade. A hike in US interest rates from near-zero levels will be negative for Gold, which doesn’t earn any interest. A pickup in US inflation and a rise in retail sales, in November bolstered the case for policy tightening by the Fed, dimming the lure for Gold as a store of value. While US retail sales climbed by 0.2 per cent in November 2015, the most in four months, producer prices increased the most since June, up by 0.3 per cent in November 2015 from October when they fell 0.4 per cent. At the MCX, Gold futures for February 2016 contract closed at Rs 25,347 per 10 gram, down by 1.29 per cent after opening at Rs 25,606, against the previous closing price of Rs 25,679. It touched the intra-day low of Rs 24,335.
0 comments:
Post a Comment