Gold, silver bounce back on global cues
Reflecting global trend, spot gold attracted fresh interest from speculators and stockists at the domestic bullion market on Tuesday and closed Rs 60 higher at Rs 9,445 per 10 gm.
By TNN |
MUMBAI: Reflecting global trend, spot gold attracted fresh interest from speculators and stockists at the domestic bullion market on Tuesday and closed Rs 60 higher at Rs 9,445 per 10 gm.
A fresh enquiries retailers in the wake of forthcoming ‘Raksha bandhan’ festival also boosted buying sentiment.
In European trading, the metal gained nearly 2% on fund buying and placed above $600 level as the dollar lost support against the euro.
Traders watched movements in the dollar and West Asia developments, which would influence gold prices in near-term. Analysts said the metal might not go above $636 on Tuesday as the rise might spark some profit-taking. On the downside, any drop to $570 might attract fresh buyers, they added.
In domestic market, Delhi gained the most and standard variety (99.5) rose to Rs 9,600, up Rs 70 over the previous close of Rs 9,530 per 10 gm. In Mumbai, the metal recovered by Rs 60 to close at Rs 9,445. The pure variety (99.9) also did so and closed by a similar margin of Rs 60 at Rs 9,490. In Kolkata, the yellow metal recorded a gain of Rs 30 at Rs 9,590.
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In London, spot gold trimmed early gains, but firm oil and the West Asia conflict were seen supporting, agency reports said quoting dealers as saying. Gold rose as high as $623.3 an ounce before easing to $621.0/622.5 an ounce against the previous close of $602.8/603.6. In New York, the metal was quoted at $612.1/612.9 on Monday.In other precious metals, spot silver also attracted fresh attention from industrial units and closed with handsome gains. In Mumbai, ready silver (.999) bounced back by Rs 270 to settle at Rs 17,665 per kg. In Delhi, the metal was up by Rs 150 at Rs 17,350. In London, silver also inched up to $10.97/11.07 an ounce from $10.84/10.94 in the US market on Monday.
In the meantime, oil prices rose further above $75 a barrel on Tuesday after Saudi Arabia warned that the conflict between Israel and Lebanese Hizbollah guerrillas could ignite a broader Middle East war, report agencies. A flurry of refinery outages in the western hemisphere also supported the market.
US crude for September rose 56 cents to $75.6 a barrel, climbing for a third day, while London Brent crude gained 57 cents to $75.2.
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