MUMBAI: India gold futures steadied on Wednesday as the dollar held near its 2009 lows, after the yellow metal hit a one-week high in the
previous session, analysts said.
The most-active October contract was 0.14 percent higher at 14,914 rupees per 10 grams at 11:33 a.m., after gaining 0.8 percent in the previous session.
The dollar held steady near its 2009 lows against the euro on Wednesday, but risks were seen on the downside due to increasing signs of improvement in the global economy and bearish technical charts.
"A weak dollar and rising crude oil could predominantly support gold," said Gnanasekar Thiagarajan, director, Commtrendz Research.
"Gold may be helped by a weak dollar later in the session and the maximum upside seen is 14,950 rupees," said Kunal Shah, assistant vice-president with Nirmal Bang Commodities.
Buying is recommmended on a dip to 14,865 rupees, with a stop loss of 14,820, and with a target of 15,065 rupees, said Thiagarajan.
Open interest for October gold on MCX was at 14,268 lots, up from 14,168 a day earlier. Volume on Tuesday was 30.72 kg.
