Precious Metals
D A I L Y B U Z Z
GOLD
Gold futures slid in the domestic market on Friday as investors and speculators exited positions in the precious metal tracking a weak trend in the overseas market as a plunge in global oil prices, which have tumbled to the lowest level in four years signal slowing inflation in the world economy, denting the yellow metal’s appeal as a hedge against inflation. Crude oil prices plunged deeper into bear terrain after the OPEC decided against reducing production in a bid to maintain market share amid surging US output. Stronger dollar curbed the demand for gold as an alternative asset. Stronger greenback makes gold more expensive for those holding other currencies, thus dimming demand. Gold futures for December 2014 contract, at MCX, is trading at Rs. 26,118 per 10 grams, down by 0.49 per cent, after opening at Rs. 26,155, against the previous closing price of Rs 26,247. It touched an intra-day low of Rs 26,085. (At 11:07 AM).
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