Gold trades flat; eyes meeting of central banks

Updated: Monday, July 30, 2012, 15:18 [IST]

Overseas spot gold was seen trading steady at $ 1,619 an ounce on Monday as investors hoped for a monetary easing from central banks to boost sagging global economy.

The two-day meeting to start the tomorrow, where the U.S. Federal Reserve and the European Central Bank will both meet to discuss possible measures to boost the economy.

However, many analysts feel that there is less scope for further quantitative easing.

Gold futures for August delivery contract on MCX opened at Rs 29,800 per 10 grams and was seen trading flat at Rs 29,798.

The gold futures contract for October delivery contract was trading at Rs 30,0164 per 10 grams at 3.05 pm IST. Spot gold was seen trading at Rs 29,781 per 10 grams.

Global investors and traders keenly awaiting the outcome of the meeting. Positive signs emanating from the meeting could help gold to stage another rally.

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