Wednesday, August 12, 2015

Todays Updated Post Of Gold for the Market lovers

The yellow metal extended an advance on Tuesday as China’s currency devaluation by the most in two decades sparked an emerging market currency rout, while taking toll on metal & energy commodities and hitting stock markets across the globe, fueling safe haven inflows into the bullion. The People’s Bank of China cut its daily reference rate by a record 1.9 per cent, prompting the biggest slide in the yuan since January 1994. The surprise devaluation followed dismal data over the weekend that showed that China’s overseas shipments fell 8.3 per cent in July 2015 from the same month a year ago in dollar terms, more than reversing a 2.8 per cent increase in June, while imports fell 8.1 per cent. Further, the China Yuan devaluation lowered bets that the US Federal Reserve will raise interest rates in September amidst heightened global financial volatility coupled with plunging commodity prices which will keep inflation benign, bolstering the lure for the bullion as a store of value. Gold may continue to benefit from safe haven demand today as China devaluated the yuan for a second day.

At the MCX, Gold futures for October 2015 contract closed at Rs 25,426 per 10 gram, up by 1.21 per cent after opening at Rs 25,150, against the previous closing price of Rs 25,122. It touched the intra-day high of Rs 25,529.
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