Precious Metals Preview: Gold Well Supported, MCX Futures End Above Rs 32200 Level

COMEX Gold stayed supported after easing from eight month highs and ended just under $ 1320 per ounce. MCX Gold futures closed at Rs 33230 per 10 grams, up marginally on the day. Gold has been witnessing steady buying as the prospects are looking attractive for the metal after it recently hit a eight month top. Gold is a highly liquid yet scarce asset, and it is no ones liability. It is bought as a luxury good as much as an investment, noted the World Gold Council (WGC) in a latest update. Gold has delivered positive returns over the long run, outperforming key asset classes, according to the WGC. Gold is becoming more mainstream. Since 2001, investment demand for gold worldwide has grown, on average, 15% per year. This has been driven in part by the advent of new ways to access the market, such as physical gold-backed exchange-traded funds (ETFs), but also by the expansion of the middle class in Asia and a renewed focus on effective risk management following the 2008-2009 financial crisis in the US and Europe.