Commodities » Precious Metals

Gold and silver daily review (September 07, 2010)

Contributed by Nirmal Bang

By Nirmal Bang

MARKET ROUNDUP

Precious metals prices held steady as expectations for a rise in physical demand going into the fourth quarter supported prices, and as disquiet over the outlook for economic growth persisted.

IN FOCUS

- The world's largest gold-backed exchangetraded fund, SPDR Gold Trust, said its holdings rose to 1294.44 tonnes by Sept. 06, down by 0.466 tonnes from the previous business day.

- The world's largest silver-backed exchange-traded fund, the iShares Silver Trust, said its holdings stood at 9276.76 tonnes as of Sept. 06, down by 3.67 tonnes from the previous business day.

- India gold buyers trickled in to the bank counters after the rupee rose to a twoweek high making the dollar-quoted yellow metal cheaper, dealers and traders said on Tuesday.

- Sudan plans to more than double its gold output in two years partly to help make up for a possible fall in oil revenues if its crude-producing south chooses to secede in a looming referendum, the minerals minister said on Monday.

FUNDAMENTAL OUTLOOK

Precious metals prices are trading firm on COMEX today. We expect precious metals prices to remain firm on account on high level of investment demand. Silver in particular looks strong for the day.