MCX GOLD TIPS | Bullion logs modest gains as Fed rate hike looms

MCX GOLD TIPS | Gold futures scored modest gains in the domestic market on Wednesday as investors and speculators booked fresh positions in the precious metal tracking an higher trend in the overseas market as a sell-off in global equities, coupled with a weaker dollar bolstered the appeal of the Gold as an alternative asset.

Weaker greenback makes the yellow metal low for those holding other currencies, thus boosting demand.

However, the gains in the bullion were trimmed by fears that plummeting oil prices may further weaken global inflationary pressures, denting gold’s appeal as an inflation hedge; while rising speculation of a US Federal Reserve interest rate hike next week, the first in almost a decade, also curbed the bullion’s appeal as a store of value.

Analysts expect the world’s biggest central bank which meets on December 15 & 16, to finally the exit the era of zero interest rates.

Gold may trade on a cautious note today ahead of the weekly jobless claims data which may offer further cues over the health of the labour market of the world’s biggest economy.

At the MCX, Bullion futures for February 2016 contract closed at Rs 25,602 per 10 gram, up by 0.30 per cent after opening at Rs 25,530, against the last closing price of Rs 25,526. It touched the intra-day high of Rs 25,747.

MCX GOLD TIPS | Gold surges after China consumer prices tick up

MCX GOLD TIPS | Gold prices rose by 0.09 per cent on Wednesday as consumer prices in China nudged a bit higher than expected, bolstering required hopes.

In China, CPI rose 1.5% year-on-year, a tick higher than the 1.4 per cent seen and PPI fell 5.9%, matching expectations. The higher customer inflation will no doubt limit the room for the People's Bank of China to again cut interest rates. The PBOC last cut the benchmark one-year deposit rate to 1.5 per cent at the end of October.

Gold futures for February 2016 agreement, at MCX, were trading at Rs. 25,548 per 10 grams, up by 0.09 per cent after opening at Rs. 25,530 against the last closing price of Rs. 25,526. It touched the intra-day high of Rs. 25,576 till the trading. (At 12.05 PM today).

Further, a weaker dollar raised the appeal of gold as an alternative asset. Weaker greenback makes the Bullion cheaper for those holding other currencies, thus increasing demand.

MCX Gold Tips: Gold extends downward journey on Fed rate

MCX Gold Tips: Gold futures ended on a bearish note in the domestic market on Monday as investors and speculators exited positions in the valued metal tracking a weak trend in the overseas market amidst rising speculation that the US Federal Reserve may raise borrowing costs for the 1st time since 2006, when it meets next in December, dimming the lure for Gold as a store of value.

Higher interest rates make the bullion, a non-interest bearing asset, less attractive for investors.

Recent labour and consumer data has signaled that the world’s biggest economy remains resilient in the face of a global slowdown, bolstering the case for policy tightening. Data on Monday showed that manufacturing continued to expand in the US in October while construction spending climbed a robust 0.6 per cent in September.

All eyes are on Friday’s October non-farm payrolls data with a pickup in job growth likely to push the case for a rate lift-off in December.

Gold may trade on a cautious note today as investors eye the key US factory orders data.

At the MCX, Gold futures for December 2015 contract closed at Rs 26,409 per 10 gram, down by 0.34 per cent after opening at Rs 26,480, against the previous closing price of Rs 26,499. It touched the intra-day low of Rs 26,381.

MCX Gold Tips: Gold in low gear on Fed rate hike fears

MCX Gold Tips: Gold futures ended lower in the domestic market on Friday as investors and speculators exited positions in the precious metal in the overseas market where the bullion dipped to a three-week low amid speculation that the US Federal Reserve may raise interest rates for the 1st time in almost a decade, at its next policy meet in December, dimming the lure for Gold as a store of value.

While the world’s top central bank held interest rates unchanged near zero last week, it sounded hawkish over policy tightening as it signaled that a rate hike remained an option in December as it played down the impact of global risks over the US economy.

Consumer sentiment in the US climbed last month, while household spending edged higher in September and Chicago PMI soared in October, signaling strength in the US economy, bolstering the case for policy tightening.

Gold received some support from a weaker dollar which bolstered the appeal of the bullion as an alternative asset. Weaker greenback makes bullion cheaper for those holding other currencies.

Gold may trade on a cautious note today as traders eye the US manufacturing data for October which will offer more cues over the economy’s health.

At the MCX, Gold futures for December 2015 contract closed at Rs 26,499 per 10 gram, down by 0.46 per cent after opening at Rs 26,588, against the last closing price of Rs 26,621. It touched the intra-day low of Rs 26,461.

MCX Gold Tips: Gold falls amid strong hints from Fed

MCX Gold Tips: Gold prices fell by 0.26 per cent on Friday as investors reacted to strong hints from the Federal Reserve that it could shift short-term interest rates when it meets next in December. Metal traders continued to digest hawkish comments from the Federal Open Market Committee, when the U.S. central bank provided compelling indications that it could lift interest rates at its next meeting in December. Gold futures for December 2015 contract, at MCX, were trading at Rs. 26,553 per 10 grams, down by 0.26 per cent after opening at Rs. 26,588 against the previous closing price of Rs. 26,621. It touched the intra-day low of Rs. 26,534 till the trading. (At 12.15 PM today). However, a weaker dollar shifted the appeal of Gold as an alternative asset. Weaker greenback makes the bullion cheaper for those holding other currencies, thus increasing demand.

MCX Gold Tips: Bullion plummets on December rate hike speculation

MCX Gold Tips: Gold futures plunged 1.7 per cent in the domestic market on Thursday as investors and speculators exited positions in the precious metal as renewed speculation of a Federal Reserve December interest rate hike soured the appetite for gold as a store of value.

A slowdown in US GDP growth failed to dampen speculation of a near-term Fed rate hike. While the world’s biggest economy grew at an annualized pace of 1.5 per cent in the September quarter following a 3.9 per cent rate in Q2, the data masked robust consumer and business spending and excluding inventories, the economy grew at a 3 per cent pace in Q3.

The Fed this week signaled that a December rate hike remained an option depending on the progress of the labour market recovery and inflation even as it downplayed the impact of global headwinds.

A weaker dollar which made gold cheaper for those holding other currencies had little effect on investor sentiment.

Holdings in the SPDR Trust, the world’s biggest bullion-backed exchange traded fund fell 0.17 per cent to 694.34 tons on Wednesday.

Gold may trade on a cautious note today as traders eye US consumer spending and consumer sentiment data.

At the MCX, Gold futures for December 2015 agreement closed at Rs 26,621 per 10 gram, down by 1.7 per cent after opening at Rs 27,040, against the last closing price of Rs 27,073. It touched the intra-day low of Rs 26,605.

MCX Gold Tips: Yellow metal ends higher

MCX GOLD TIPS: Gold futures closed on a bullish note in the domestic market on Wednesday tracking gains from the overseas market as investors and speculators booked fresh positions in the precious metal as the US Federal Reserve kept interest rates unchanged near zero even as it left the door open for policy tightening at its next meet in December.

Gold benefits from lower interest rates which boost the demand for the yellow metal as a store of value.

The Fed has refrained from rate tightening as a worsening China slowdown adds to the gloomy global outlook that threatens to crimp US economic growth and restrain inflation.

However, the Fed on Wednesday indicated that it is confident that further job gains would be enough to boost inflation towards targeted levels, supporting the case for a rate lift-off in the near term.

The dollar rallied following the prospects of a December rate hike, reducing the appeal of Gold as a store of value.

Gold may retreat today as the Fed indicated that it is prepared to raise borrowing costs as soon as December.

At the MCX, Gold futures for December 2015 contract closed at Rs 27,073 per 10 gram, up by 0.55 per cent after opening at Rs 26,945, against the previous closing price of Rs 26,925. It touched the intra-day high of Rs 27,189.

MCX Gold Tips: Gold closes higher ahead of FOMC

MCX Gold Tips: Gold prices closed higher in the national market on Tuesday with investors on the sidelines in the main ahead of the latest announcement from the Fed Reserve on monetary policy. Prices rose amid a slightly stronger dollar, as metal traders await the completion of the Fed Open Market Committee's two-day October meeting on Wednesday afternoon for further indications on the timing of an interest rate hike by the U.S. central bank. Although the FOMC has hinted that it will likely hold short-term interest rates at its current near-zero level at the meeting, Federal Reserve chair Janet Yellen has still not ruled out a rate trek. However, a stronger dollar reduced the appeal of Gold as an alternative asset. Stronger greenback makes the gold expensive for those holding other currencies, thus reducing need. At the MCX, bullion futures for December 2015 contract closed at Rs 26,925 per 10 gram, up by 0.38 per cent after starting at Rs 26,806, against the last closing price of Rs 26,823. It touched the intra-day high of Rs 26,940.

MCX Gold Tips: Gold closes lower on weak universal cues

MCX Gold Tips: Gold futures ended mildly lower in the domestic market on Friday as the People's Bank of China unexpectedly introduced fresh stimulus measures on Friday, pointing the sixth time the central bank has lowered interest rates since November. The PBOC slashed its one-year lending rate by a half of a percentage point, in its latest attempt to bolster its flagging economy by easing monetary policy. In addition, the PBOC also lowered its Reserve Requirement Ratio (RRR) or the quantity of cash commercial banks must set aside in reserves, by 0.5 per cent. Meanwhile, mixed US data raised uncertainty over whether the US Fed Reserve will hike interest rates this year as jobless claims edged up last week, a best index declined in September but existing home sales rose. Further, a stronger dollar reduced the appeal of billion as an alternative asset. Stronger greenback makes the bullion expensive for those holding other currencies, thus decreasing demand. At the MCX, Gold futures for December 2015 contract closed at Rs 26,809 per 10 gram, down by 0.21% after opening at Rs 26,874, against the last closing price of Rs 26,865. It touched the intra-day low of Rs 26,726.

MCX Gold Tips: Gold closes lower on weak overseas cues

MCX Gold Tips: Gold futures ended lower in the national market on Thursday as the euro sank against the dollar after ECB President Mario Draghi said the bank's degree of accommodation will need to be reexamined at its December meeting. European Central Bank President Mario Draghi said policymakers will reexamine the degree of monetary policy stimulus at its December conference. Draghi added that the central bank's QE program will continue until September 2016 or beyond if needed until inflation adjusts toward 2.0 per cent. Further, a stronger dollar reduced the appeal of Gold as an alternative asset. powerful greenback makes the bullion expensive for those holding other currencies, thus reducing demand. At the MCX, bullion futures for December 2015 contract closed at Rs 26,865 per 10 gram, down by 0.33 per cent after opening at Rs 26,963, against the previous closing price of Rs 26,955. It touched the intra-day low of Rs 26,843.

MCX Gold Tips: Bullion extends downward journey

MCX Gold Tips: Gold futures ended lower in the domestic market on Monday tracking a bearish trend in the overseas market led by profit-booking by investors and speculators in the precious metal following a recent rally amidst speculation that the US Federal Reserve may push back the timeline for a maiden interest rate hike in almost a decade due to global headwinds which threaten to crimp growth in the world’s biggest economy, bolstering the lure for Gold as a store of value.

Stronger dollar also curbed the appeal of Gold as an alternative asset. Greater greenback makes the bullion more expensive for those holding other currencies, thus dimming demand.

However, the losses in the bullion were trimmed by speculation that China may up stimulus after growth slipped to the weakest since the global financial crisis in Q3 2015, bolstering the outlook for the bullion, which is a hedge against the investigation risk of monetary stimulus.

Gold may trade on a cautious note today ahead of US housing data and Fed Chair Janet Yellen’s speech in which she may offer some cues over the timing of a US rate hike.

At the MCX, Gold futures for December 2015 contract closed at Rs 27,006 per 10 gram, down by 0.53 per cent after opening at Rs 27,111, against the previous closing price of Rs 27,150. It touched the intra-day low of Rs 26,922.

MCX Gold Tips: Yellow metal eases on profit-booking

MCX Gold Tips: Gold futures ended lower in the domestic market on Friday as investors and speculators resorted to profit-booking following impressive gains in recent sessions while weak cues from global markets also weighed on sentiment.

Gold pulled back in the overseas market on Friday as a weaker dollar curbed the lure for the bullion as an alternative asset.

Weaker greenback makes Gold more expensive for those holding other currencies, thus dimming demand. However, Gold remained supported by bets of a delay in US interest rate hike, which bolstered the lure for the precious metal as a store of value.

Weaker than expected US manufacturing data which showed a drop in factory output in September raised bets that the Fed may put off policy tightening until next year.

Gold futures may rise today as the slowest expansion in China’s Q3 growth in over six years bolstered stimulus hopes to prop up the world’s second biggest economy.

At the MCX, Gold futures for December 2015 contract closed at Rs 27,150 per 10 gram, down by 0.39 per cent after opening at Rs 27,225, against the previous closing price of Rs 27,257. It touched the intra-day low of Rs 27,063.

MCX Gold Tips: Gold ends higher amid Fed rate hike debate

MCX Gold Tips: Gold prices closed higher in the domestic market on Tuesday in the midst of a flat dollar, as widespread concerns related to worth growth in China and the timing of an interest rate hike by the Federal Reserve remained in focus. Federal Reserve Bank of St. Louis moderator James Bullard stood firm on his position that economic conditions nationwide are strong enough to allow the Fed Open Market Committee to approve an initial rate hike. Gold is not attached to interest rates and struggles to compete with high-yield mien assets in rising rate environments. Investors also continued to digest relatively speculative comments from a host of central bankers over the weekend at the International Monetary Fund's Yearly conference in Lima, urging the Fed to stop putting off an initial rate hike. At the MCX, Gold futures for December 2015 contract closed at Rs 26,979 per 10 gram, up by 0.71 per cent after opening at Rs 26,725, against the previous closing price of Rs 26,788. It touched the intra-day high of Rs 26,026.

MCX Gold Tips: Fed rate outlook powers Gold’s rally

MCX Gold Tips: Gold futures extended gains in the domestic market on Monday as investors and speculators booked fresh positions in the precious metal tracking gains from the overseas market as bets that the US Federal Reserve may delay policy tightening in the world’s biggest economy amidst global headwinds bolstered the lure for the yellow metal as a store of value.

Chicago Federal Reserve Bank President Charles Evans on Monday urged the world’s top central bank to undertake a very gradual lift-off in US interest rates while preferring the initial hike in borrowing costs to begin in 2016.

FOMC Minutes released last Thursday also signaled that the Fed will be cautious in its approach to hiking interest rates for the first time in almost a decade, given slowing global growth and jitters from China that have hit global financial markets in recent months.

Gold, a non-interest bearing asset benefits from lower interest rates, which make the asset more attractive.

Gold has also been supported by safe haven buying amid Russian military action in Syria.

Gold may extend gains as dismal China trade data raises bets of further stimulus to prop up growth in the world’s second biggest economy.

At the MCX, Gold futures for December 2015 agreement ended at Rs 26,788 per 10 gram, up by 0.62 per cent after opening at Rs 26,675, against the previous closing price of Rs 26,622. It touched the intra-day high of Rs 26,938.

MCX Gold Tips: Delayed Fed rate hike hopes lift Bullion

MCX Gold Tips: Gold futures notched up impressive gains in the domestic market on Friday as investors and speculators booked fresh positions in the precious metal amidst speculation that the US Federal Reserve may push back the timetable for raising interest rates in the world’s biggest economy, for the first time in almost a decade, bolstered the lure for the bullion as a store of value.

FOMC minutes released on Thursday signaled caution on part of policymakers over raising interest rates despite an improvement in the US economy, as spillovers from a struggling Chinese economy threaten to hit other emerging markets.

Federal bank Vice Mr. Chairman Stanley Fisher said that a 2015 rate hike was an expectation, but not a commitment, with considerable uncertainties surrounding US economic outlook amidst slowing global growth which may hit exports, low investment due to a collapse in oil prices and recent dismal jobs growth data.

A weaker dollar also boosted the demand for Gold as alternative asset. Weaker greenback makes Gold cheaper for those holding other currencies, thus bolstering demand.

Gold may extend a rally on Monday on delayed Fed policy tightening hopes as traders eye comments from two key Fed officials.

At the MCX, Gold futures for December 2015 contract closed at Rs 26,622 per 10 gram, up by 0.67% after opening at Rs 26,424, against the previous closing price of Rs 26,446. It touched the intra-day high of Rs 26,696.

MCX Gold Tips: Gold closes lower after FOMC meeting

MCX Gold Tips: Gold futures closes lower in the national market on Thursday after minutes from the Federal Reserve’s September policy-setting conference showed that central-bank officials held off on an interest-rate hike because downside risks had climbed. That implied the central bank may again delay raising rates, which is supportive for gold. Some of the selling may have been due to Chinese traders taking some profits on the current strength in gold, following the end to the country’s “Golden Week” holiday. A perusal of U.S. weekly jobless demand, which showed that the number of people applying for unemployment benefits marked its smallest level since mid-July, did little to change gold’s downward slide Thursday. At the MCX, Gold futures for December 2015 contract closed at Rs 26,446 per 10 gram, down by 0.41 per cent after opening at Rs 26,501, against the last closing price of Rs 26,555. It touched the intra-day low of Rs 26,337.

Free MCX Tips: Gold drops as Fed minutes ahead

Free MCX Tips: Gold prices fell by 0.34 per cent on Thursday as China markets returned from holidays and investors stake positions ahead of Fed minutes later in the day. Investors await the release of the minutes from the Fed's September meeting on Thursday for further hints on whether the US central bank could raise short-term interest rates before the end of the year. Gold futures for December 2015 contract, at MCX, were trading at Rs. 26,465 per 10 grams, down by 0.34 per cent after opening at Rs. 26,501 against the previous closing price of Rs. 26,555. It touched the intra-day low of Rs. 26,431 till the trading. (At 11.55 AM today).

However, a weak dollar raised the appeal of the bullion as an alternative asset. Weaker dollar makes the precious metal cheaper for those holding other currencies, thus increasing demand.

MCX Gold Tips: Gold closes lower on weak global cues

MCX Gold Tips: Gold prices closed lower in the domestic market on Wednesday amid a flat dollar, ahead of the release of the minutes of the Federal Open Market Committee's September conference on Thursday afternoon. Investors await the release of the minutes from the Fed's September conference on Thursday for further hints on whether the US central bank could raise short-term interest rates before the closing of the year. A rate hike is viewed as bearish for Gold, which struggles to compete with high-yield demeanor assets in rising rate environments. The US Dollar Index, which measures the strength of the greenback V/S a basket of six other major currencies, inched up. Dollar-denominated commodities such as gold become more expensive for global purchasers when the dollar appreciates. At the MCX, Gold futures for October 2015 contract closed at Rs 26,555 per 10 gram, down by 0.25 per cent after opening at Rs 26,700, against the previous closing price of Rs 26,621. It touched the intra-day low of Rs 26,416.

MCX Gold Tips: Bullion Bulls in charge on Fed hopes

MCX Gold Tips:  Gold futures rallied by nearly 1% in the domestic market on Tuesday as investors and speculators booked fresh positions in the billions tracking a firm trend in the overseas market as tepid US economic data and a fast growing global gloom boosted speculation that the US Federal Reserve may push back plans of tightening monetary policy for the 1st time in almost a decade, until next year, bolstering the lure for the bullion as a store of value.

US trade gap widened the most in five months in August as a stronger dollar and a China slowdown saps the lure for the country’s overseas shipments, threatening to slow growth in the world’s biggest economy. US trade deficit increased 15.6 per cent to USD 48.3 billion in August from a revised USD 41.8 billion in July.

Meanwhile, the IMF cut its global economic growth forecast to 3.1 per cent for 2015 from 3.3 per cent earlier and to 3.6 per cent in 2016, from 3.8 per cent amid lower growth in emerging markets.

Gold futures may fall today as a top Fed official repeated the call for raising interest rates in 2015.

At the MCX, Gold futures for December 2015 contract closed at Rs 26,621 per 10 gram, up by 0.90 per cent after opening at Rs 26,424, against the previous closing price of Rs 26,383. It touched the intra-day high of Rs 26,728.

Free mcx tips: Bullion treads water on Fed member’s comments

Free MCX Tips: Gold futures ended lower in the national market on Thursday as investors and speculators exited positions in the industrial metal after a top member of the US Federal Reserve called on policymakers to undertake an interest rate hike, for the first time in almost a decade, sometime later in 2015, dimming the lure for Gold as a store of value.
The risks to the world’s largest economy from the domestic rout haven’t worsened and domestic conditions remained strong, urging the case for policy tightening this year Said by Federal Reserve Bank of San Francisco President John Williams
Gold, being a non-interest bearing asset, tends to lose sheen through a rising interest rate scenario.
Gold futures may rebound today as tepid US jobs data for September pushed back bets of a hike in interest rates by the US Federal Reserve, bolstering the lure for the gold as a store of value. American employers added fewer than expected jobs in September while wages grinned to a halt and factory orders fell in August, a sign that the global financial rout has reached the shores of the US economy, prompting the case for the Fed to delay tightening policy until next year.

At the MCX, bullion futures for October 2015 contract closed at Rs per 25,773 10 gram, down by 0.32 per cent after opening at Rs 25,827, against the last closing price of Rs 25,856. It touched the intra-day low of Rs 25,711.