Precious Metals Preview: Gold Nears Recent One Year Low

COMEX Gold has approached near its recent 12 month lows today as weak fund buying and steady equities hurt the sentiments. The counter currently trades at $ 1215.80 per ounce, down 0.35% on the day. MCX Gold should see a correction in early moves following this. The local futures ended down 0.22% at Rs 29610 per 10 grams yesterday.

Global Gold demand slipped 6% in the first half of this year following a sharp decline in purchases for investment purposes, the World Gold Council (WGC) said in a report yesterday. Total global demand for gold was 1,959.9 tonnes over January-June, down from 2,086.5 tonnes in the same period last year and the lowest first-half total since 2009, the WGC said in its latest Gold Demand Trends report. For the second quarter, demand was down 4% year-on-year at 964.3 tonnes. Purchases of gold for investment fell 9%, driven by a 46% decline in ETF buying. Central bank purchases dropped 7% over April-June period.

Global Gold demand slipped 6% in the first half of this year following a sharp decline in purchases for investment purposes, the World Gold Council (WGC) said. Total global demand for gold was 1,959.9 tonnes over January-June, down from 2,086.5 tonnes in the same period last year and the lowest first-half total since 2009, the WGC said in its latest Gold Demand Trends report. For the second quarter, demand was down 4% year-on-year at 964.3 tonnes. Purchases of gold for investment fell 9%, driven by a 46% decline in ETF buying. Central bank purchases dropped 7% over April-June period.