Record delivery of 1.5 tonnes silver at ICEX platform

MUMBAI: The Indian Commodity Exchange ( ICEX) received a good response from traders and industry players in the bullion segment when silver December 2010 contract saw physical delivery of nearly 1.5 tonnes, an exchange official said.

Silver has become the second largest traded precious in the country's domestic futures market as a large number of market participants and bullion traders are taking delivery of the white metals through the futures route.

Trading data from ICEX shows that members took record delivery of 1.5 tonne in silver December 2010 contracts. Earlier, traders sought delivery of 300 kg of the September silver contracts at ICEX.

Gold and silver are currently trading marginally higher on COMEX and ICEX. Traders are bullish on base metals on European issue and of course on issue of US economic slowdown, a commodity trader Rakesh Jain said.

Strong demand in India and China are also the factor for which traders are bullish on gold. There is lack of market news at present which makes the precious metal trading in narrow range. Volatility is expected to increase after release of payroll and non-manufacturing data, Jain said.

ICEX Feb gold was up by 0.09 per cent at Rs 20,640 per 10 grams. Silver March was up by 0.41 per cent at Rs 43,274 per kg.