Domestic gold and silver futures rebounded on Thursday as the dollar halted its recent gains, making precious metals cheaper for those dealing in other currencies. Multi Commodity Exchange (MCX) gold futures (due for an October 5 delivery) climbed up by Rs 350 – or 0.68 per cent – to close at Rs 51,752, and silver futures (December 4) settled at Rs 69,005, up Rs 562 – or 0.82 per cent – from their previous close. The gold and silver contracts had risen to as high as Rs 51,851 and Rs 69,768 respectively during the volatile session.
In the international market, gold gained 1.04 per cent to $1,975.20 per ounce at the strongest level recorded on Thursday, as the dollar retreated on weaker-than-expected US jobs data and as the European Central Bank (ECB) kept its policy unchanged. Silver jumped as much as 2.51 per cent to $27.76 per ounce.
The US dollar index – which gauges the greenback against six currencies – fell 0.60 per cent during the session, boosting gold’s appeal as a safe-haven bet.
Meanwhile, a rebound across Asian equity markets limited the upside in precious metals. Typically, gold and equities share an inverse relationship, wherein an boost in the risk appetite sends investors away from safe-haven bets such as the yellow metal. (Sources : ndtv.com)
