Gold gains after Yellen backs US stimulus, MCX Gold opens slightly up
Mumbai-India (Nov 14) Gold prices in the global market gained further on Thursday snapping earlier losses, supported by the indication that the US Central Bank continue to support the economy by pumping money into the system.
US gold for December delivery on electronic platform was seen trading with a gain of $16.5 at $1284.9 per troy ounce as of 09.50 IST while silver was seen trading at $20.805 per troy ounce as of 10.04 IST on Thursday.
The yellow metal rose on Thursday after, Janet Yellen, nominee to lead the US Fed, said that economy and labour market are still weak and Fed continue to support the economy through its monetary stimulus program.
Earlier, gold had recorded a sharp decline since last week after US jobs and GDP data recorded an upside movement than previously estimated. US dollar came under pressure after Yellens's comments while treasury yields recorded a weak movement.
Cash gold volumes with 99.99% purity on China's Shanghai Gold Exchange rose to 15,413 kilograms on Wednesday, the highest since October 11.
US data on Initial Jobless Claims, Continuing Jobless Claims, Non Farm Productivity, Traders Balance is scheduled to be released at 19.00 IST while a speech from FOMC member Yellen is expected at 20.30 IST on Thursday.
India Gold Futures
Gold futures on India's Multi Commodity Exchange (MCX) opened slightly positive at Rs.30115 tracking an up-tick in the global gold prices. MCX gold futures for December delivery was seen trading up by 0.30% at Rs.30146 per 10 grams as of 10.08 IST on Thursday.
