Silver up 1.59% on falling rupee
MUMBAI-INDIA (Aug 21) Wiping-off initial losses, silver prices recovered by 1.59% to Rs 51,260 per kg in futures trade after participants created speculative position as rupee plunged to historic low.
However, weakness in the precious metals in the global market, limited the gains.
At the Multi Commodity Exchange, silver for delivery in September traded Rs 801, or 1.59% higher at Rs 51,260 per kg in business turnover of 13,313 lots. It moved between Rs 50,005 and Rs 51,400 during the day.
On the similar lines, silver for delivery in far- month December after dipping to Rs 51,339, recovered sharply by Rs 771, or 1.30% to Rs 52,425 per kg in 879 lots.
Analysts said the depreciating rupee which made imports costlier, helped silver futures to trade higher but a weak trend overseas as investors awaiting minutes from the US central bank's July policy meeting for clues on when it will begin scaling back its commodities-friendly stimulus steps, limited the gains.
Meanwhile, silver fell by 0.60% to $22.86 an ounce in London today