RTRS: India gold edges up tracking overseas market
India gold futures edged higher
on Monday following overseas markets, where a weak dollar and
light Chinese buying supported the yellow metal, but gains were
capped by a strong rupee, analysts said.
The most traded June contract MAUM9 was 0.16 percent
higher 14,314 rupees per 10 grams at 11:32 a.m.
A strong rupee makes the dollar-quoted asset cheaper. The
Indian rupee rose as gains in regional stock markets may
attract more capital inflows, a key driver for the local unit.
See [ID:nBOM40671]
Downward sentiment would persist in gold due to higher equity
markets, said Harish Galipelli, head of research with Karvy
Comtrade.
The June gold contract had shed about 2.3 percent last
week.
Gold may trade in the range of 14,121-14,400 rupees for the
day, said Krishna Reddy, an analyst with Way 2 Wealth
Securities.
Open interest for June gold on MCX was at 14,817 lots, down
from 14,832 a day earlier. Volume on Saturday was 1.95 kg.
