India gold futures down on weak overseas market

India gold futures down on weak overseas market


Mumbai: India’s gold futures were down on Monday, 24 December, tracking overseas weakness, commodity brokerages said.

February gold was down Rs24 to Rs10,331 per 10 grams at 11:30am on the Multi Commodity Exchange of India Ltd (MCX). The April contract shed Rs22 to Rs10,397.

“The overseas weakness is dragging down the domestic market," said Shailendra Kumar, head of research, Sharekhan Commodities Pvt Ltd.

Light festive-season trading and a stronger dollar conspired to drive overseas gold lower on Monday. Indian gold prices usually mirror overseas trends.

The demand is also not coming and trading volumes are also very thin ahead of Christmas and New Year holidays, he said.

Support for the February contract would be at Rs10,290 per 10 grams and resistance is seen at Rs10,380, said Pranith Kumar Tunguri, senior analyst, Indiabulls Commodities Pvt Ltd.

Open interest for February gold on MCX was at 11,984 lots, down from 12,101 the previous session. Volume on Saturday was 1.6kg.