Bullion futures rally for third session

Gold prices extended gains for the third consecutive session on Friday, by rising Rs 520 to Rs 1,21,133 per 10 grams, tracking firm global cues amid expectations of a US Federal Reserve rate cut following soft labour data.

Gold futures for December delivery appreciated by Rs 520, or 0.43 per cent, to Rs 1,21,133 per 10 grams in a business turnover of 13,446 lots. Silver futures also have robust traction.

The white metal for December delivery rallied by Rs 1,598, or 1.09 per cent, to Rs 1,48,667 per kilogram in 19,396 lots.

“Gold and silver prices are attempting to establish a base before the next rise, following confirmation of supporting factors, including massive layoffs and the US government shutdown,” Renisha Chainani, Head - Research at Augmont, said.