Precious metal dips on Fed jitters
12/09/2014 11:44
Gold futures fell in the domestic market on Friday as investors and speculators exited positions in the precious metal tracking a weak trend in the overseas market amid caution ahead of the US Federal Reserve’s two-day policy meet next week where the central bank may provide a timeline to raise interest rates.
Stronger dollar also dimmed the appeal of the precious metal as an alternative asset. Stronger greenback makes gold more expensive for those holding other currencies, thus dimming demand.
Gold futures for October 2014 contract, at MCX, is trading at Rs. 26,936 per 10 grams, down by 0.19 per cent, after opening at Rs. 26,945, against the previous closing price of Rs 26,986. It touched an intra-day low of Rs 26,870. (At 11:29 AM).
Gold futures fell in the domestic market on Friday as investors and speculators exited positions in the precious metal tracking a weak trend in the overseas market amid caution ahead of the US Federal Reserve’s two-day policy meet next week where the central bank may provide a timeline to raise interest rates.
Stronger dollar also dimmed the appeal of the precious metal as an alternative asset. Stronger greenback makes gold more expensive for those holding other currencies, thus dimming demand.
Gold futures for October 2014 contract, at MCX, is trading at Rs. 26,936 per 10 grams, down by 0.19 per cent, after opening at Rs. 26,945, against the previous closing price of Rs 26,986. It touched an intra-day low of Rs 26,870. (At 11:29 AM).
