Precious Metals
D A I L Y B U Z Z
GOLD
Gold futures slumped in the domestic market on Thursday as investors and speculators exitedpositions in the precious metal tracking a weak trend in the overseas market amid speculationthat the US Federal Reserve is moving closer to raising interest rates for the first time since2006, dimming the appeal of the bullion as a store of value. Minutes from the Fed’s Octoberpolicy meet showed that policymakers debated whether to retain the pledge of keepingborrowing costs near zero for a “considerable time”, a sign that monetary tightening mayberound the corner. Holdings in the SPDR Gold Trust fell to the lowest level since September2008 on Wednesday, signaling a slump in investment demand for the bullion. Gold futures forDecember 2014 contract, at MCX, is trading at Rs. 26,425 per 10 grams, down by 1.07 per cent,after opening at Rs. 26,550, against the previous closing price of Rs 26,711. It touched an intra-day low of Rs 26,366. (At 11:23 AM).
Base Metals
D A I L Y B U Z Z
COPPER
Copper futures fell in the domestic market on Wednesday as investors and speculators exited positions in the industrial metal after China’s manufacturing activity failed to grow this month, signaling a deepening economic slowdown in the world’s biggest metals consumer, clouding the demand outlook for copper. HSBC China manufacturing PMI hit a six-month low of 50 in November, signaling no change in manufacturing activity over the previous month, when the reading stood at 50.4. At the MCX, copper futures for November 2014 contract is trading at Rs. 415.65 per 1 kg, down by 0.29 per cent, after opening at Rs. 416, against the previous closing price of Rs. 416.85. It touched an intra-day low of Rs. 415.40. (At 11:25 AM).
