Gold prices drifted down by 0.6 per cent to Rs 28,178 per 10 grams at the futures trade as speculators reduced their exposure amid a weak trend overseas. Besides, a weak trend at the spot market due to muted demand from jewellers weighed on prices.
At the Multi Commodity Exchange, gold for delivery in February fell Rs 169 or 0.60 per cent to Rs 28,178 per ten grams in business turnover of 4,007 lots. Similarly, the metal for delivery in April traded lower by Rs 157 or 0.55 per cent to Rs 28,190 per ten grams in 271 lots.
Analysts attributed the slide in gold futures to a weak trend overseas on higher chances of a rate hike by the Federal Reserve, diminishing appeal for precious metals a safe haven investment. Globally, fell 0.54 per cent to $1,241.40 an ounce in New York in yesterday’s trade.