Gold price sheds value

Karachi-Pakistan (Dec 17)  Gold prices in international as well as in domestic market fell as investors in USA cashed in on hefty profits made this month ahead of a long holiday

weekend.

Spot gold fell to $1,135 an ounce down from $1,162 late in New York while in domestic market yellow metal shed Rs 1,108 per tola to stay at Rs 44,514 per tola and down by Rs 951 per ten grams to close at Rs 38,204 per ten grams, traders said.

The market is quite volatile, though, and there's certainly a broader interest. Traders said gold may struggle again this time round, especially in an environment of rising interest rates, which would mean the precious metal would have to put in a robust performance to stop investors shifting to higher yield assets, traders said.

The gold price remained in the hands of manipulators in India, Pakistan and other major gold buying countries, as they remained busy influencing current prices and futures on speculations. The potential buyers in India and Pakistan remained busy in hedging.

Source: DailyTimes