Commodities » Precious Metals

Gold and silver daily review (March 19, 2013)

Contributed by Angel Broking

Gold

Spot gold prices increased by 0.8 percent in the yesterday trading session on th e back of worries over Cyprus bailout, driving investors to buy gold as safe haven . However, strength in DX capped sharp gains in price s.

The yellow metal touched an intra-day high of $1610.81/oz and closed at $1604.8/oz in yesterday's trading session.

In the Indian markets, prices ended on positive note in the yesterday trading session on the back of depreciation in the Indian rupee and closed at Rs.29547/10 gms after touching an intra-day high of Rs. 29644/10 gms on Monday.


Silver

Taking cues from rise in gold prices, spot silver prices ended on positive note by 0.4 percent on Monday. However, weak global market sentiments coupled with strength in DX capped sharp upside movement in the prices.

The white metal prices touched an intra-day high of $29.12 /oz and closed at $28.8/oz in yesterday's trade.

On the domestic front, prices ended on a positive note by 0.2 percent and closed at Rs. 54321/kg after touching an intra-day high of Rs. 54555/kg on Monday. Depreciation in the Indian rupee supported prices to trade green.


Outlook

In the intraday, we expect precious metals to trade on a positive note due to worries over Cyprus bailout and expectation of rise in Inflation data from UK will lead to increase in demand for the safe haven investment. Further, weakness in DX may support prices to trade positive. Appreciation in the Indian Rupee will cap sharp gains in the prices on the MCX.