International gold prices rally; Indian Gold Futures subdued

Business

oi-Sunil

By Sunil Fernandes

Published: Tuesday, October 8, 2013, 11:18 [IST]

International gold prices rallied in trade as the partial US Government closure entered its second week and investors worried over the ability of the US Congress to raise the debt ceiling. Read more on the debt ceiling here

Spot gold in the international markets was trading at $1325 an ounce, up by almost half per cent in trade. The prices are now near one-week highs.

Gold Futures on the MCX was trading marginally lower by Rs 45 at Rs 29,441. Silver Futures on the MCX was trading lower by Rs 160 at Rs 49,470.

Gold is likely to remain volatile as the deadline for the US debt ceiling of Oct 17, draws near. This year gold prices are unlikely to rally substantially in India as well owing to the subdued demand, thanks to the frequent duty hikes by the government.

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