India gold futures fall on profit taking

India gold futures fall on profit taking
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First Published: Tue, Sep 25 2007. 11 40 AM IST
Updated: Tue, Sep 25 2007. 11 40 AM IST
Reuters
Mumbai: India’s gold futures fell on Tuesday, 25 September, as profit taking emerged after a rally in the last few sessions, analysts said.
The weakness in overseas market and a drop in crude oil prices also weighed on the sentiment, they said.
October gold was trading Rs26 down at Rs9,390 per 10 grams at 11:10am on the Multi Commodity Exchange of India Ltd. The December contract lost Rs30 to 9,483.
US crude oil extended losses by another half a dollar on Tuesday as dealers took more profits from last week’s record high.
“It is profit taking ... international market is also down,” said Debjyoti Chatterjee of Mape Admisi Commodity Research.
Prices are unlikely to move higher, and the market is likely to get cue from the U.S. home sales data due in later part of the day, he said.
The US National Association of Realtors will release the home sales data for August. Economists in a Reuters survey forecast a median 5.49 million annualised units for the month versus 5.75 million units in July.
An analyst with Indiabulls Commodities Pvt Ltd said selling was expected to emerge if the 9,360 rupee level was broken.
Open interest for October gold on MCX was at 8,943 lots.
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First Published: Tue, Sep 25 2007. 11 40 AM IST