Gold price edges lower on correction in Asia

Karachi-Pakistan (Nov 24)  Gold edged lower at Rs 40,849 per ten-gram level losing Rs 117 per ten-gram on average in the country while in per tola terms, yellow metal shed Rs 137 to stay at Rs 47,595, traders said.

The correction in Gold Futures is set to be short-lived as buying from long-term investors is expected on any sizeable dip.

Spot gold traded at $1,212 per ounce, down by $5 in international market.

Investors would shift their focus to gold and gold-backed securities amid possible worries over the effectiveness of latest rescue plan for US financial industry.

Gold consumption in the country shrank around 70 percent in 20 days of November due to liquidity crunch in international and domestic market.

An executive member All Pakistan Jewellers and Gems Merchants Association (APJGMA), Humayun Ahmad Mani said the correction in price of gold really depends on international output report and oil prices.

He said in domestic and international market, there was any major physical buying but it was expected a big correction in the international market soon, but it was a matter of time. He said hedging of gold was inching towards 65 percent since gold continued under correction.

Source: DailyTimes