Bullion futures in diverging trend

New Delhi: Gold prices eased in futures trade on Thursday in line with weak global trends and poor offtake in spot markets. On the Multi Commodity Exchange (MCX), gold futures for December delivery decreased by Rs 198, or 0.16 per cent, to Rs 1,25,733 per 10 grams in a business turnover of 6,075 lots.

In contrast, silver futures rebounded after a weak opening. The white metal for December delivery jumped by Rs 2,069, or 1.28 per cent, to Rs 1,63,341 per kilogram in 6,965 lots. On the global front, Comex gold futures for December delivery fell by $11.4, or 0.27 per cent, to $4,153.8 per ounce, snapping a four-day winning streak.

“Gold prices dipped to around $4,150 per ounce on Thursday but remained near a two-week high, as investors continued to anticipate a Federal Reserve rate cut next month,” Jigar Trivedi, Senior Research Analyst at Reliance Securities, said. Trivedi added that the US initial jobless claims came in surprisingly low and durable goods orders were stronger than expected, but this did not deter expectations for rate cuts.

Silver extended its positive run in the global markets as well, with the December contract futures trading 1.25 per cent higher at $53.57 per ounce, marking the gains for the fourth straight day. “Traders continue to give priority to the wider run of weak demand indicators and dovish Fed commentary because the economic data mix was uneven but still consistent with policy easing,” Renisha Chainani, Head - Research at Augmont, said.