Bullion tips & outlook : Gold prices ended high in the native market on yesterday with investors on the sidelines in the main ahead of the latest declaration from the Federal Reserve on monetary policy. Prices went high amid a slightly stronger dollar, as metal traders await the completion of the Fed Open Market Committee's two-day October meeting today afternoon for further indications on the timing of an interest rate hike by the central bank of U.S.
Although the FOMC has indicated that it will likely hold short-term interest rates at its present near-zero level at the meeting, Federal Reserve chair Janet Yellen has still not ruled out a rate increment. Moreover, a stronger dollar decreased the appeal of Gold as an alternative asset. Stronger greenback makes the bullion expensive for those holding other currencies, thus reducing requirement. At the MCX, December 2015 contract for Gold futures closed at Rs 26,925 per 10 gms, up by 0.38 per-cent after opening at Rs 26,806, against the previous closing price of Rs 26,823. It reached the intra-day high of 26,940.
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