Gold prices rallied in trade, after hitting a 5-month low, as the dollar steadied against a basket of currencies. The precious metal, which was trading at $1208 an ounce, gained marginally to $1210 an ounce.
Though international prices of gold had declined in the large few trading sessions, there has been no fall in the Indian markets, largely as the rupee has fallen against the dollar. In fact, the drop in the rupee against the dollar, has provided a perfect cushion for any drop in gold prices in India. At the MCX gold for November delivery was trading at Rs 29,700 per 1 grams.