Mumbai: India’s gold prices are expected to firm up a little this week, and possibly test the psychological Rs9,000 per 10 grams, on a likely weak dollar, firmer crude and good buying of physical gold, analysts said on Monday.
“Gold is looking bullish, even though it doesn’t have much to add,” said Shailendra Kumar, head of research at Sharekhan Commodities Pvt. Ltd. No sharp moves are expected this week, yet gold is likely to be firm as credit market concerns are still haunting the dollar, while crude oil is expected to harden on refinery outages in the US, analysts said. Standard gold dropped by Rs10 per 10gm to end the day at Rs8,900.
Steadier equity markets, after roller-coaster moves earlier this month that affected gold too, can be another support for the metal, said Debjyoti Chatterjee, associate vice-president at MAPE Admisi Commodity Research. “Gold is expected to recover its last week’s losses primarily on a bounce-back in equity markets.”