Gold futures extend decline amid improving US economic outlook
Gold futures fell in the domestic market on Wednesday as investors and speculators exited positions in the precious metal tracking a weak trend in the overseas market as an improving US economic outlook amid robust consumer, manufacturing and services data raised bets of continued QE taper by the US Federal Reserve, dimming the appeal of the bullion, a hedge against the inflationary risk of monetary stimulus.
Weakening physical demand from China, the world's biggest bullion consumer, also weighed on the precious metal.
Gold futures for June 2014 contract, at MCX, is trading at Rs. 26,847 per 10 grams, down by 0.41 per cent, after opening at Rs. 26,937, against the previous closing price of Rs 26,958. It touched an intra-day low of Rs 26,810. (At 11:04 AM).