Mumbai: India’s gold futures were down on Thursday on the back of a fall in crude oil and a stronger dollar overseas that lessened the metal’s safe-haven appeal, analysts said.
The metal may trade rangebound during the day with crude oil near a seven-week low on a weakening outlook for demand and the dollar near a one-month high owing to signs of improved confidence in the US financial sector, analysts said.
“Right now the outlook for gold has changed to bearish,” said an analyst at Motilal Oswal Commodities Broker Ltd.
Gold generally has an inverse relation with the dollar as the two compete for funds. But the metal usually tracks crude oil as the latter signals inflation while the metal negates it.
The benchmark August gold was expected to trade within Rs12,476 and Rs12,927 per 10 grams, said the analyst at Motilal Oswal.
September silver on the MCX was seen trading within Rs24,125 per kg and Rs24,945, the same analyst added.
September silver traded at Rs24,355 on MCX. Following are gold prices in rupees per 10 grams on the Multi Commodity Exchange of India Ltd. at 10:50 a.m.