Precious Metals
D A I L Y B U Z Z
GOLD
Gold futures surged in the domestic market on Tuesday as investors and speculators booked fresh positions in the precious metal amid bets that the European Central Bank (ECB) may purchase assets including government bonds and bullion to spark a revival in the 18-member Euro area economy, bolstering the demand for gold as a hedge against the inflationary risk of monetary stimulus.
A weaker dollar boosted the demand for the precious metal as an alternative asset. Weaker greenback makes gold cheaper for those holding other currencies, thus boosting demandGold futures for December 2014 contract, at MCX, is trading at Rs. 26,713 per 10 grams, up by 1.45 per cent, after opening at Rs. 26,426, against the previous closing price of Rs 26,330. It touched an intra-day high of Rs 26,774. (At 16:05 PM).
Energy
D A I L Y B U Z Z
CRUDE OIL
Crude oil futures posted a strong rebound in the domestic market on Tuesday amid rising speculation that the OPEC, which accounts for about 40 per cent of global crude supplies, may move to lower output to support plunging oil prices. Venezuelan and Russian oil officials met on Monday to explore ways to support oil prices.
A weaker dollar boosted the demand for the energy commodity as an alternative asset. Weaker greenback makes crude cheaper for those holding other currencies, thus boosting demand.
At the MCX, Crude Oil futures, for the November 2014 contract, is trading at Rs 4,710 per barrel, up by 1.16 per cent, after opening at Rs 4,666, against a previous close of Rs 4,656. It touched an intra-day high of Rs 4,723. (At 16:01 PM).
