Gold Extended Its Losses - March 10, 2009

Gold extended its losses and lost another Rs 40 to close at Rs 15,375 per ten gram in the bullion market in New Delhi on selling influenced by weakening global trend. Silver also followed the same trend and lost Rs 300 to settle the day at Rs 21,800 per kg as as metel prices continued to slide in overseas market.

Market men said stockists relieved of part of their holdings in line with weakening trend in overseas markets mainly put pressure on the precious metal prices. They said reduced off take by retailers due to off-marriage season further fuelled the down-trend. Standard gold and ornaments lost Rs 40 each to Rs 15,375 and Rs 15,225 per ten gram respectively. However, sovereign remained steady at Rs 12,400 per piece of eight gram. In a similar way, silver ready dropped by Rs 300 to Rs 21,800 per kg on poor off take by industrial units and weekly-based delivery by Rs 140 to Rs 22,460 per kg. Besides, silver coins continued to be asked around previous level of Rs 28,400 for buying and Rs 28,500 for selling of 100 pieces.

Gold Prices Dropped - March 5, 2009

On 4th March, gold prices dropped for the second straight day on the bullion market due to fresh offerings led by weakness in overseas markets. Silver also continued to exhibit a downward trend on lack of demand at higher levels.

The market fell as illiquid cash market forced investors to reduce other asset exposure in order to meet margin commitments a dealer said. Gold was little changed in Europe as traders stuck to the sidelines ahead of a rate-setting announcement from the European Central bank and key US jobs data later in the week.

Investors are concerned over the lack of fresh inflows into gold backed exchange-traded funds in recent sessions. Spot gold was quoted at $915.00/916.20 an ounce as against $915.70 an ounce late in New York yesterday. Turning to the local market, standard gold (99.5 purity) dropped further by Rs 260 per ten grams to Rs 15,075 from Rs 15,335 yesterday. Pure gold (99.9 purity) also fell to Rs 15,140 from Rs 15,400 previously.

Silver ready (.999 fineness) moved down by Rs 130 per kilo to Rs 21,915 from Rs 22,045.

Gold Futures Extends Losses - Jan 13, 2009

India''s gold futures on Monday extended losses in a row on global leads, but in the local market, buyers awaited further price falls, traders and dealers said.

The February contract on the Multi Commodity Exchange of India closed at Rs 13,265, down Rs 63 rupees from the previous close.

“Gold demand is very low as prices rose recently,” said Sanjeev Garg, director with Delhi-based LMJ International, a bullion trader.

The foreign gold that guides the local market, edged slightly lower on Monday as concerns over physical demand weighed, while U.S. crude oil slipped to under $40 a barrel in a thin market.