Domestic gold prices extended losses on Monday touching nearly three week low mirroring losses in global benchmarks. Global benchmarks slid to more than three-week low on firm dollar.
MCX gold October futures fell 0.3 percent to touch the intraday low of Rs 51,336 per 10 grams. White metal future, fell 0.6 percent to Rs 55,131 per kilogram, 1.5 percent away from lifetime low.
Dr. Ravi Singh-Vice President and Head of Research, ShareIndia, said the anticipated Jackson Hole symposium is scheduled from 25th till 27th August next week will provide cues for gold prices. "The speech of Fed chair may give guidance on the future rate hikes and fiscal tightening to curb the inflation. Third estimate of the US Q2 GDP data is also scheduled to release this week. All these factors may keey the gold prices volatile."
Singh suggests buying gold above Rs 51,650 for a target of Rs 51,900 and sell below Rs 51,300 for a target price of Rs 51,100.
Amit Khare, AVP- Research Commodities, Ganganagar Commodity Limited, said, "A stronger US dollar index that is back near its 20-year high scored in July is squelching buying interest in the precious metals markets this week. were last down $7.00 at $1,753.90. futures were last down $0.309 at $19.155 an ounce."
Indian equity benchmarks opened in red amid largely negative cues from global markets. The rupee edged lower to 79.83 against the US dollar.
The dollar index — which gauges the strength in the greenback against six peers — remained nearly unchanged.
