Daily Times

Gold prices in international as well as in domestic market fell as investors in USA and major countries kept them away from buying on fears of USA-China trade war and global economic depression.

Spot gold fell to $1,244 an ounce down from $1,250 late in New York while in domestic market yellow metal shed Rs 131 per tola to stay at Rs 56,859 per tola and down by Rs 112 per ten grams to close at Rs 48,800 per ten grams, traders said.

The market is quite volatile, though, and there’s certainly a broader interest.

Traders said gold may struggle again this time round, especially in an environment of rising interest rates, which would mean the precious metal would have to put in a robust performance to stop investors shifting to higher yield assets, traders said.

The gold price remained in the hands of manipulators in India, Pakistan and other major gold buying countries, as they remained busy influencing current prices and futures on speculations. The potential buyers in India and Pakistan remained busy in hedging.

The gold hedgers made some cautious deals. The general buyers remained on sidelines anticipating further easing in price in coming days on dollar-rupee parity.

Buyers made deals according to their immediate needs. Local trading in gold remained dull on back of insignificant buying.

Published in Daily Times, July 13^th 2018.