Gold falls in today's trade, stocks up

Published: Tuesday, August 30, 2011, 11:06 [IST]

Gold and stocks generally move in opposite direction. After United States Federal Chief indicated that there is no immediate need for a stimulus package as economy is headed for growth, stocks around the globe took a beating. The trigger led to fall in world gold prices.

The MCX gold futures on Monday closed at Rs 26,649 per 10 grams.

Gold is considered as one of the best bets during uncertain times. Debt woes in Europe and the US over the past few months aided gold to move up. The price took a turnaround after Fed chief expressed positive outlook about the US economy.

Investors are also optimistic about the Euro region after Greece announced the merger of two of its banks, the news triggered stock markets all around the world.

World stock markets are in green and at the correction stage due to optimistic environment over both the economies, which in turn stealing attention from gold.

The most traded commodity gold for October delivery on MCX opened low at Rs 26,781 per 10 grams and was trading between Rs 26,786 – Rs 26,791 per 10 grams around 10:54 am IST.

Gold for delivery in far-month April which opened at Rs 27,566 per 10 grams. It was trading in the range of Rs 27,618 – Rs 27,653 per 10 grams same time.

GoodReturns.in

Story first published: Tuesday, August 30, 2011, 11:06 [IST]

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