Gold Update: MCX gold off record high on strong domestic equities

MCX India witnessed a record delivery of 5,158.80kg (valued at Rs1,821cr) in gold August delivery contracts due to factors such as increased volatility and uncertainty and a rise in gold prices.

Aug 08, 2019 07:08 IST India Infoline News Service

Global gold prices held steady near the $1,500/ounce mark on Thursday due to worries regarding the Sino-US trade war and interest rate cuts by global central banks amid fears of an economic slowdown.

Gold resumed its safe-haven flavor in an uncertainty-ridden environment across the globe.

Holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, rose 1.02% to 845.42 tonnes on Wednesday from Tuesday, according to ET.

Back home, MCX Spot Gold is lower by 0.7% currently at Rs37,039/10gms on strong domestic equities and down from yesterday's all-time high of nearly Rs38,000/gm.

MCX India witnessed a record delivery of 5,158.80kg (valued at Rs1,821cr) in gold August delivery contracts due to factors such as increased volatility and uncertainty and a rise in gold prices, which drove traders to use the MCX derivative contracts to hedge their margins as well as meet delivery commitments.

The open interest in gold contracts (all variants) earlier saw a six & a half year high level of ~35,000kg in July 2019. 

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