Gold gains on strong global cues
05/01/2015 12:44
Gold futures rose in the domestic market on Monday after a top US Federal Reserve official suggested patience on raising interest rates, bolstering the appeal of the bullion as a store of value. Eric Rosengren, the President of the Boston Federal Reserve said that lack of clear signals of a pickup in inflation and low wage growth justify the exercise of patience over monetary tightening. At the MCX, Gold futures for February 2015 contract was trading at Rs 26,878 per 10 gram, up by 0.55 per cent after opening at Rs 26,815, against the previous closing price of Rs 26,730. It touched the intra-day high of Rs 26,946 till the trading. (At 12.11 AM today).
However, a stronger dollar reduced the appeal of the bullion as an alternative asset. Stronger dollar makes the precious metal expensive for those holding other currencies, thus reducing demand
Gold futures rose in the domestic market on Monday after a top US Federal Reserve official suggested patience on raising interest rates, bolstering the appeal of the bullion as a store of value. Eric Rosengren, the President of the Boston Federal Reserve said that lack of clear signals of a pickup in inflation and low wage growth justify the exercise of patience over monetary tightening. At the MCX, Gold futures for February 2015 contract was trading at Rs 26,878 per 10 gram, up by 0.55 per cent after opening at Rs 26,815, against the previous closing price of Rs 26,730. It touched the intra-day high of Rs 26,946 till the trading. (At 12.11 AM today).
However, a stronger dollar reduced the appeal of the bullion as an alternative asset. Stronger dollar makes the precious metal expensive for those holding other currencies, thus reducing demand
