INSUBCONTINENT EXCLUSIVE:
Gold is often preferred for safety in times of elevated geopolitical risks
Gold prices in Delhi declined marginally on Thursday
With that, gold prices in Delhi declined back to Rs
Domestic gold prices came down amid lackluster demand from jewellers and weakness in international gold market battered by rising dollar
Gold is often preferred for safety in times of elevated geopolitical risks
Strength in the dollar kept global gold prices in a narrow range on Thursday, near five-week lows hit in the previous session
A stronger dollar makes bullion more expensive for holders of other currencies, while higher bond yields dampen demand for non-interest
Domestic gold price: In Delhi, gold of 99.9 per cent and 99.5 per cent purity shed Rs 50 per 10 grams each to Rs 32,400 and Rs 32,250 per 10
grams, respectively, news agency Press Trust of India reported
Gold prices had had advanced by Rs 225 per 10 grams the previous day.2
Domestic silver price: Silver fell by Rs 150 per kilogram to Rs 40,550 per kilogram, according to the agency
Silver ready fell by Rs 150 to Rs 40,550 per kg and weekly-based delivery by Rs 150 to Rs 39,425 per kg
Silver coins, however, continued to be traded at previous level of Rs 75,000 for buying and Rs 76,000 for selling of 100 pieces.3
The 10-year US Treasury yield set a fresh four-year high of 3.035 per cent on Wednesday, driven by worries about the growing supply of
government debt and inflationary pressures from rising oil prices In global markets, spot gold rose 0.1 per cent to $1,324.61 per ounce at
12:26 pm, a day after it fell to its lowest since March 21, news agency Reuters reported.4
Banks and brokerages expect a largely flat gold market over the rest of 2018, a Reuters poll showed on Thursday
Credit ratings agency CARE Ratings expects global gold prices to remain range-bound around $1,350 per ounce in the short term.5
The average gold price prediction returned by the poll of 34 analysts and traders conducted this month stood at $1,334 an ounce, versus the
precious metal's current 2018 average of $1,332
The respondents' forecast for next year, of $1,352 an ounce, represents an uplift of only 1 per cent from this year's levels, according to
the Reuters poll.(With agency inputs)
