Gold Futures Down On Weak Global Cues; Subdued Domestic Demand

New Delhi: Gold prices fell 0.20 per cent to Rs.29,342 per 10 grams in futures trade as participants reduced their positions largely in tandem with a weak trend overseas.

Besides, subdued spot demand where, the precious metal dipped to 10-month low also weighed on the prices.

At the Multi Commodity Exchange, gold for delivery in June eased by Rs.60, or 0.20 per cent, to Rs.29,345 per 10 gm in business turnover of 601 lots.

Likewise, the metal for delivery in far-month August shed Rs.42, or 0.14 per cent, to Rs.29,800 per 10 gm in 42 lots.

In the spot markets, gold prices dropped to a 10-month low of Rs.29,500 per ten grams in the national capital due to absence of demand on account of off-marriage season.

Market analysts said besides subdued domestic demand, a weak trend in the overseas markets as investors reduced asset holdings amid optimism a global economic recovery will curb safe haven demand, mainly weighed on the gold prices at futures trade.

Globally, gold fell 0.3 per cent to $1,549.62 an ounce in Singapore.

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