For Quick Alerts
ALLOW NOTIFICATIONS  
For Daily Alerts

Gold futures slip as upbeat US data bolsters case for QE taper

By Religare
|

Gold futures fell in the domestic market on Friday as investors and speculators exited positions in the precious metal after robust US data signaled a pickup in the world's biggest economy, bolstering the case for the US Federal Reserve to start reducing its monthly USD 85 billion bond buying program by the end of the year, dimming the appeal of the precious metal, a hedge against the inflationary risk of monetary stimulus.

 

Manufacturing activity in the US expanded at the sharpest rate in over two years last month while jobless claims fell to the lowest level in more than five years.

A stronger dollar also dimmed the demand for the precious metal as an alternative asset. Stronger greenback makes gold more expensive for those holding other currencies, thus dimming demand.

Gold futures for August 2013 contract, at MCX, were trading at Rs. 27,947 per 10 grams, down by 0.97 per cent after opening at Rs. 28,130 against the previous closing price of Rs. 28,220. It touched an intra-day low of Rs 27,855. (At 11:25 AM).

Read more about: gold gold futures
Company Search
Get Instant News Updates
Enable
x
Notification Settings X
Time Settings
Done
Clear Notification X
Do you want to clear all the notifications from your inbox?
Settings X
We use cookies to ensure that we give you the best experience on our website. This includes cookies from third party social media websites and ad networks. Such third party cookies may track your use on Goodreturns sites for better rendering. Our partners use cookies to ensure we show you advertising that is relevant to you. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on Goodreturns website. However, you can change your cookie settings at any time. Learn more