Domestic Gold Futures Ease Over 1% In 5 Days, Second Straight Weekly Loss
Gold Price This Week: Domestic gold futures eased more than 1 per cent this week tracking weakness in global rates of the yellow metal. That marked a second straight weekly loss for the October 5 gold contract on MCX. Multi Commodity Exchange's gold futures due for a delivery on October 5 ended 0.29 per cent lower at Rs 52,001 on Friday, taking its losses for the week to Rs 584 - or 1.11 per cent. It had weakened by Rs 2,204 - 4.02 per cent - the previous week, in which it had hit an all-time high.
On August 7, MCX gold futures had registered an all-time high of Rs 56,191, tracking a rally in the international market.
Globally, spot gold declined to a one-week low, easing for a second straight week, as a strong rebound in the dollar and a resurgence in US business activity dented its appeal as a safe-haven bet.
Spot gold settled 0.35 per cent lower at $1,940.47 per ounce on Friday, finishing the week with a loss of 0.24 per cent, following a 4.44 per cent the previous week.
Analysts say though gold has receded from its recent all-time highs on profit-booking, it is still poised to rise given the uncertainty due to the still increasing number of coronavirus cases around the globe.
Typically, gold shares an inverse relationship with equities. This happens as any sense of heightened risk in capital markets forces investors to scout for safe-haven investments such as gold.