Gold Futures Likely To Trade Higher Next Week
Kuala Lumpur-Malaysia (July 12) Gold futures contract on Bursa Malaysia Derivatives will likely trade higher next week amid troubles in Portugal's third largest bank, Banco Espirito Santo.
A dealer said the bank's woes coupled with the brewing crisis in the Middle East gave gold a boost as money seems to be shifting from equities to safe haven investments.
A dealer said gold is at a healthy correction level with the price above 20 and 50-day moving average which indicated a higher probability on gold moving upwards.
On a Friday-to-Friday basis, July 2014 and October 2014 rose 39 ticks each to close at RM137.10 and RM138.05 a gramme respectively.
August 2014 surged 37 ticks to RM137.40 a gramme and September 2014 gained 18 ticks to RM137.55.
Volume rose to 7,024 lots worth RM97.28 million from 5,913 lots worth RM80.74 million last week.
Open interest on Friday stood at 5,419 contracts compared with last week's 7,307 contracts.