Lackluster day for gold; trades flat

Business

oi-Sneha

By Sneha B K

Published: Tuesday, June 12, 2012, 14:50 [IST]

Precious metal was trading flat on Tuesday with overseas spot gold hovering around $1,591 a troy ounce on the back of mixed investors' sentiments. US dollar stood strong against the basket of currencies with renewed worries on deepening debt turmoil in Europe.

Sentiment was dampened as hopes faded on the Spain bailout as investors felt that bailout will not halt the deepening debt crisis in Europe.

On domestic front, gold and silver advanced on the Multi Commodity Exchange (MCX) on Tuesday, gold for August delivery was trading at Rs 29,769 up Rs 4 and gold for October delivery was seen at Rs 30,110 up Rs 9 at 2.35 pm IST.

The partially convertible Indian Rupee depreciated further on Tuesday and breached 56-a mark, making gold more expensive for the physical buyers. Domestic bullion prices gold of 99.9 and 99.5% purity was seen at Rs 30,150 and Rs 29,950 per 10 grams, respectively.

However, investors eye on the Greek elections which is held on June 17 and Federal reserve meet on June 19-20 for the further direction.

GoodReturns.in