Global trend seen keeping gold weak

Our Bureau Updated - March 12, 2018 at 03:40 PM.

Gold in the global market was just above the seven-month low.

Gold will likely seek to head south on Monday in line with the global trend. Globally, investors turned cautious ahead of the Italian elections and its impact on the euro.

Gold in the global market was just above the seven-month low. In early trade at Singapore, gold fell to $1,576.20 an ounce, while gold April contracts quoted at $1,575.70.

In the domestic market on Saturday, gold for jewellery (99.5% purity) was up at Rs 29,335 for 10 gm and pure gold (99.9%) at Rs 29,465.

The oils and oilseeds complex is likely to come under pressure after profit-booking set in in soyabean that gained on Chinese buying and problems at Brazilian ports.

In early Asian trade, Chicago Board of Trade (CBOT) soyabean March contracts were down at $14.43 a bushel. Crude palm oil on Bursa Malaysia Derivatives Exchange for delivery in May slipped to 2,534 ringgit ($816) a tonne.

The grains complex is also under pressure after snowfall in key wheat growing area in the US that will benefit the crop. Corn (industrial maize) looked weak on slack demand for exports and record crop prospects in South America.

On CBOT, wheat March futures ruled at $7.6 and corn contracts for the same month were at $6.82.

Crude oil may gain ahead of the UN talks with Iran over the nuclear programme issue. In early Asian trade, Brent crude for delivery in April ruled at $113.93 a barrel and NYMEX crude for the same month at $93.08 a barrel.

Higher inventories in China are likely to sap natural rubber as it looked to decline for the fifth consecutive session in Tokyo.

Published on February 25, 2013 04:28