Gold declines on global cues
Gold in the national capital on Monday gained Rs 169 to Rs 46,753 per 10 gram with recovery in international precious metal prices and rupee depreciation. On the forex market, the rupee slipped by 2 paise to close at 74.42 against the US dollar, snapping its three-day gaining streak amid a muted trend in domestic equities. Forex traders said the rupee is trading in a narrow range as investors are awaiting cues from the US Fed's policy decision due this week.
In the previous trade, the precious metal had closed at Rs 46,584 per 10 grams. Silver also rallied Rs 396 to Rs 66,080 per kilogram from Rs 65,684 per kilogram in the previous trade. The Indian rupee depreciated 4 paise to 74.44 against the US dollar in opening trade on Monday. In the international market, gold was trading with gains at $1,808 per ounce and silver was flat at $25.32 per ounce.
"Gold prices got support from soft dollar index and fall in US treasury yields," said Tapan Patel, HDFC Securities, senior analyst (commodities). Navneet Damani, V-P (commodities research), Motilal Oswal Financial Services, adds: "Gold prices edged higher, amidst fall in US yields and concerns over rising Delta variant cases, with investors turning their attention to the Federal Open Market Committee's meeting this week."
Gold futures gain on spot demand
Gold futures rose by Rs 187 to Rs 47,721 per 10 gram in the futures trade on MCX as speculators created fresh positions on a firm spot demand.
On the Multi Commodity Exchange (MCX), gold contracts for the August delivery traded higher by Rs 187, or 0.39 per cent, at Rs 47,721 per 10 gram in a business turnover of 4,900 lots. Fresh positions built up by participants led to the rise in gold prices, analysts said.
