Gold futures fell in the domestic market on Tuesday as investors and speculators exited positions in the precious metal tracking a weak trend in the overseas market after a report showed the biggest rise in US retail sales since 2012 last month, signaling optimism over the world's largest economy, raising concerns that the US Federal Reserve may accelerate QE tapering in the coming months, dimming the appeal of the bullion, which is a hedge against the inflationary risk of monetary stimulus.
However, rising tensions between Russia and Ukraine supported safe haven demand for the bullion. Gold futures for June 2014 contract, at MCX, is trading at Rs. 28,757 per 10 grams, down by 0.70 per cent, after opening at Rs. 28,850, against the previous closing price of Rs 28,959. It touched an intra-day low of Rs 28,751. (At 11:52 AM).