Gold Futures Likely To Trend Lower Next Week

Kuala Lumpur (Apr 23)  Gold futures contracts on Bursa Malaysia Derivatives are likely to trend lower next week, dented by stronger ringgit and tracking the movements of the crude oil prices, a dealer said.

 "We expect the local gold prices to likely remain under pressure by the strong ringgit, depending on the global oil movements," Phillip Futures Sdn Bhd dealer Viola Yong told Bernama.

 However, she said, the market is also anticipating the US Federal Reserve's rate increase this year which will lead to a stronger US dollar and subsequently pressure the gold prices.

 On a Friday-to-Friday basis, April 2016 added 38 ticks to RM156.40 a gramme, May 2016 increased 40 ticks to RM157.30 a gramme.

 June 2016 rose 37 ticks to RM157.50 a gramme while July 2016 advanced 46 ticks to RM157.30 a gramme.

 Weekly turnover fell to 34 lots worth RM532,520 from 151 lots worth RMRM2.28 million last Friday.

 Open interest on Friday fell to 531 contracts from 566 contracts previously.

 Source:  BERNAMA