Gold prices fall on weak global cues, decline in demand
Posted By: Religare
Subscribe to GoodReturns
Reversing its previous day's gains, gold prices fell on Thursday as a result of the heavy selling pressure as investors were concerned regarding the rapidly intensifying European debt crisis due to Spain's weak financial sector. Gold futures for June 2012 contract, at MCX, were trading at Rs. 29,087 per 10 grams, down by 0.10 per cent after opening at Rs. 29,120 against the previous closing price of Rs. 29,117. It touched the intra-day low of Rs. 29,055. Sentiment weakened further due to the poor demand for the yellow metal at prevailing higher levels from industrial units and jewelers.
At the Commodity Exchange (COMEX), gold future for August 2012 delivery traded at US$1,562.2 per ounce, down by 0.22 per cent. It opened at US$1,564.1 against the previous closing price of US$1,565.7. It touched the intra-day low of US$1,560.7. (At 11.10 am IST).
However, traders keep an eye on upcoming data like U.S. preliminary first-quarter gross domestic product, U.S. employment report and China's official purchasing manager's index to assess the state of global economy.