Tag: Gold

Yellow metal shines as dollar, US Treasury yields weaken

Yellow metal shines as dollar, US Treasury yields weaken

22/06/2017 14:17

Gold futures were trading higher during afternoon trade in the domestic market on Thursday as investors and speculators extended their positions in the precious metal after rising safe-haven demand on the back of easing greenback and weakness in US Treasury yields.

The US Treasury yield curve flattened to almost 10-year lows on Wednesday as investors evaluated the impact of hawkish Federal Reserve policy on the economy even as inflation measures are deteriorating.

At the MCX, gold futures for August 2017 contract is trading at Rs 28680 per 10 grams, up by 0.36 per cent, after opening at Rs 28645, against a previous close of Rs 28577. It touched the intra-day high of Rs 28716 (at 14:06 hours).

Yellow metal little changed ahead of Fed decision

Yellow metal little changed ahead of Fed decision

14/06/2017 14:08

Gold futures were little changed during afternoon trade in the domestic market on Wednesday as investors and speculators awaited further cues on market direction ahead of the outcome of a US Fed’s policy meeting later in the day, which could provide further clues over the timing of interest rate hikes this year.

Further, the US central bank is widely expected to raise interest rates at its two-day meeting. Meanwhile, the focus will be on any fresh hints on the pace of further tightening in the months to come and next year, and any further details on its plans for trimming its balance sheet.

At the MCX, gold futures for August 2017 contract is trading at Rs 28920 per 10 grams, down by 0.08 per cent, after opening at Rs 29050, against a previous close of Rs 28944. It touched the intra-day low of Rs 28912 (at 14:01 hours).

Yellow metal little changed on global cues

Yellow metal little changed on global cues

29/05/2017 14:16

Gold futures were little changed during afternoon trade in the domestic market on Monday as investors and speculators remained on the sidelines in the precious metal as safe-haven demand faded after report of a North Korean missile test fizzed out.

Meanwhile, yellow metal held a narrow range on Monday as Chinese markets are closed on Monday and Tuesday for the Dragon Boat festival.

At the MCX, gold futures for June 2017 contract is trading at Rs 28,868 per 10 grams, down by 0.07 per cent, after opening at Rs 28,870, against a previous close of Rs 28,888. It touched the intra-day low of Rs 28,832 (at 14:08 hours).

Tax burden on gold should reduce under GST regime: WGC

Tax burden on gold should reduce under GST regime: WGC

25/05/2017 17:17

The World Gold Council today urged the government to reduce the tax incidence on gold and gold products under the new Goods and Sevices Tax regime.

“In the GST regime, we urge and expect that the total tax burden on gold be halved from the current level of around 12 per cent,” WGC managing director Somasundaram PR said here today during launch of a new comprehensive India gold report in Bengali.

The report is published after 15 years and is also available in English, Hindi, Malayam and Tamil for a ready reference to Indian gold industry.

Currently, total taxation comes to between 12 and 13 per cent. Custom duty is 10 per cent, excise is one per cent and VAT of 1-1.5 per cent depending upon states.

“In the GST regime, we demand the total tax burden on gold to be not more than 6-7 per cent. But, we have to wait for a few days more when the GST rates on gold is expected to be announced,” Somasundaram said.

He tried to convince that gold import was not as bad as was perceived to be when asked why government should offer low tax on gold which is an idle asset and contribute a lot for current account deficit.

“According to a 2014-15 report of PWC, value addition in gold is to the tune of USD 30 billion with a lot more scope. Gold loan is also to the tune of around USD 10 billion with about 1,250 tonne as collateral allowing persons access to credit be it formal or informal,” Somasundaram said.

Hoping GST will bring lot of transperency in the gold industry including check on illgeal imports which is about 120 tonnes a year now. But it will take few months industry to get stabilised, the WGC official said.

Somasundaram said government should promote gold investment through ETF with tax breaks rather than physical gold.

He reteriated that the country needed a gold policy that would help all stakeholders.

Meanwhile, the gold demand during Q1 (January-March, 2017) grew by 15 per cent to 123 tonnes, but it was 18 per cent down compared to the corresponding period in the last five years on average.

Yellow metal shines as US political crisis deepens

Yellow metal shines as US political crisis deepens

18/05/2017 14:15

Gold futures were trading higher during afternoon trade in the domestic market on Thursday as investors and speculators extended their positions in the precious metal on safe-haven buying on account of political turmoil in the US and diminished expectations for an aggressive string of interest rate hikes by the US Fed.

Pressure on US President Trump deepened after reports that he tried to interfere with a federal investigation.

At the MCX, gold futures for June 2017 contract is trading at Rs 28672 per 10 grams, up by 0.19 per cent, after opening at Rs 28650, against a previous close of Rs 28619. It touched the intra-day high of Rs 28735 (at 14:08 hours).

Yellow metal shines on weak US data, N Korea concerns

Yellow metal shines on weak US data, N Korea concerns

15/05/2017 13:53

Gold futures were trading higher during afternoon trade in the domestic market on Monday as investors and speculators extended their positions in the precious metal on rising safe-haven demand after weakness in the greenback on the back of weaker-than-expected economic data from the US and a missile test conducted by North Korea on Sunday.

North Korea said on Monday it had successfully conducted a newly developed mid-to-long range missile test on Sunday, supervised by leader Kim Jong Un and aimed at verifying the capability to carry a “large scale heavy nuclear warhead.”

At the MCX, gold futures for June 2017 contract is trading at Rs 28047 per 10 grams, up by 0.15 per cent, after opening at Rs 28024, against a previous close of Rs 28005. It touched the intra-day high of Rs 28078 (at 13:40 hours).

Yellow metal dips on French election result

Yellow metal dips on French election result

25/04/2017 17:03

Gold futures were trading lower during the evening trade in the domestic market on Tuesday as investors and speculators exited their positions in the precious metal as safe-haven buying dried up on emergence of risk appetite among investors and boosting equities, after centrist candidate Emmanuel Macron won the first round of French presidential election.

However, worries over North Korea as it conducted a big live-fire exercise on Tuesday to mark the foundation of its military, restricted further fall in prices of precious metal.

At the MCX, gold futures for June 2017 contract is trading at Rs 28939 per 10 grams, down by 0.66 per cent, after opening at Rs 29070, against a previous close of Rs 29131. It touched the intra-day low of Rs 28918 (at 17:05 hours).

Yellow metal in reverse gear

18/04/2017 13:03

Gold futures were trading lower during afternoon trade in the domestic market on Tuesday as investors and speculators exited their positions in the precious metal as investors braced for riskier assets after dollar bounced back from a 5-month low after the US Treasury Secretary’s comments supported a stronger currency.

Although, escalating tensions over North Korea, restricted further fall in prices of yellow metal.

At the MCX, gold futures for June 2017 contract is trading at Rs 29315 per 10 grams, down by 0.39 per cent, after opening at Rs 29401, against a previous close of Rs 29430. It touched the intra-day low of Rs 29278 (at 12:53 hours).

Yellow metal shines amid rising geopolitical tensions

Yellow metal shines amid rising geopolitical tensions

17/04/2017 13:04

Gold futures were trading higher during afternoon trade in the domestic market on Monday as investors and speculators extended their positions in the precious metal on safe-haven demand as the US dollar weakened due to rising geopolitical tensions over North Korea.

North Korea’s failed ballistic missile test on Sunday, increased geopolitical risks.

At the MCX, gold futures for June 2017 contract is trading at Rs 29447 per 10 grams, up by 0.13 per cent, after opening at Rs 29450, against a previous close of Rs 29409. It touched the intra-day high of Rs 29475 (at 12:59 hours).

Yellow metal little changed on stronger dollar

Yellow metal little changed on stronger dollar

30/03/2017 14:10

Gold futures were little changed during afternoon trade in the domestic market on Thursday as investors and speculators exited their positions in the precious metal weighed down by diminishing safe-haven demand on stronger US dollar.

However, uncertainty due to the impact of Britain’s departure from the European Union and upcoming French elections, restricted further slide in prices of gold at futures trade.

At the MCX, gold futures for April 2017 contract is trading at Rs 28677 per 10 grams, down by 0.09 per cent, after opening at Rs 28695, against a previous close of Rs 28703. It touched the intra-day low of Rs 28668 (at 14:07 hours).