Precious Metal
Gold futures fell in the domestic market on Monday as investors and speculators exited positions in the precious metal as a slump in oil prices threatened to exert downward pressure on global inflation, dimming gold’s appeal as a hedge against inflation. Crude prices have hit five-year lows amid worries over a supply glut, limiting demand for the yellow metal as a hedge against rising prices. A stronger dollar and robust equities curbed the demand for the bullion as an alternative asset. Stronger greenback makes gold more expensive for those holding other currencies, thus dimming demand. Gold futures may fall today amid caution ahead of a flurry of US economic data today including Q3 GDP numbers, goods and orders and housing data which may offer fresh cues over the health of the world’s biggest economy. At the MCX, Gold futures for February 2015 contract closed at Rs 26,608 per 10 gram, down by 1.44 per cent after opening at Rs 26,965, against the previous closing price of Rs 26,998. It touched the intra-day low of Rs 26,538 till the closing.
D A I L Y B U Z Z
GOLDGold futures fell in the domestic market on Monday as investors and speculators exited positions in the precious metal as a slump in oil prices threatened to exert downward pressure on global inflation, dimming gold’s appeal as a hedge against inflation. Crude prices have hit five-year lows amid worries over a supply glut, limiting demand for the yellow metal as a hedge against rising prices. A stronger dollar and robust equities curbed the demand for the bullion as an alternative asset. Stronger greenback makes gold more expensive for those holding other currencies, thus dimming demand. Gold futures may fall today amid caution ahead of a flurry of US economic data today including Q3 GDP numbers, goods and orders and housing data which may offer fresh cues over the health of the world’s biggest economy. At the MCX, Gold futures for February 2015 contract closed at Rs 26,608 per 10 gram, down by 1.44 per cent after opening at Rs 26,965, against the previous closing price of Rs 26,998. It touched the intra-day low of Rs 26,538 till the closing.
Base Metals
D A I L Y B U Z Z
COPPER
Copper futures fell in the domestic market on Tuesday as investors and speculators stayed cautious over booking fresh positions in the base metal after a dip in US existing home sales last month clouded the demand outlook for copper, which is used as a building material. A leading economic index for China climbed at a quicker pace in November, up 0.9 per cent from the previous month, when it rose 0.8 per cent, easing concerns over a slowdown in the world’s biggest metals consumer, supporting copper. At the MCX, Copper futures for February 2015 contract is trading at Rs 406.75 per 1 kg, down by 0.01 per cent after opening at Rs 406.10, against the previous closing price of Rs 406.80. It touched the intra-day low of Rs 406.10 till the closing. (At 10:36 AM).
