India gold drifts down on overseas easing, strong rupee

India gold drifts down on overseas easing, strong rupee
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First Published: Thu, Sep 27 2007. 11 32 AM IST
Updated: Thu, Sep 27 2007. 11 32 AM IST
Reuters
Mumbai: Indian gold futures drifted down slightly on Thursday, 27 September, as overseas gold softened and the rupee touched a nine-year high.
October gold was down Rs4 to Rs9,340 per 10 grams at 10:49am on the Multi Commodity Exchange of India (MCX). The December contract lost Rs4 and was quoting at Rs9,435.
Commodity brokerages said gold may remain at slightly lower levels during the day, but the overall trend was still likely to be bullish in the wake to the dollar’s weakness overseas.
“Gold is still not too negative,” said Dhiraj Kothari, analyst at Brics Commodities Pvt. Ltd. “It is just that the upside is gone for now.”
Kothari said December gold on the Multi Commodity Exchange of India Ltd is likely to find supports at Rs9,355 and Rs9,350 per 10 grams.
Another analyst at Motilal Oswal Commodities Broker Pvt Ltd said the impending expiry of the October gold contract may have prompted some profit taking.
Open interest for the December contract on MCX was at 4,355 lots, up from 4,284 the previous day. Volume on Wednesday was at 6.631 kg.
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First Published: Thu, Sep 27 2007. 11 32 AM IST
More Topics: Gold | Futures | MCX | Motilal Oswal | Money Matters |