Metals in India: Gold up, aluminium down, copper flat
21 May 2008
Indian gold futures were up on Tuesday, inching closer to the previous day's two-month high, helped by strong crude oil overseas and weaker rupee locally. June gold on the Multi Commodity Exchange of India Ltd (MCX) traded close to the previous day's peak of Rs12,472 per 10 grams, the highest since 19 March, amid fears of supply disruptions in crude oil.
Gold generally moves in tandem with crude as the latter fuels inflation while gold is seen as a natural hedge against it.
Aluminium prices fell 1.11 per cent in futures trading on Tuesday as traders were seen booking profits by reducing their commitments, triggered by subdued global markets. At MCX, aluminium prices for May contract were down Rs1.80 or 1.11 per cent at Rs124.80 a kg after moving in the range of Rs127.20 and Rs125 per kg.
Prices of June contract fell Rs1.40, or 1.11 per cent at Rs125 a kg. It moved between Rs127.20 and Rs125 a kg during the day. Traders said a significant rise of 10,425 tonnes to 1.039 million tonnes in the inventory at London Metal Exchange, led to a fall in aluminium prices at futures market.
India's copper futures opened flat on Tuesday as expected demand from quake-hit China supported prices and rising inventories in London weighed, analysts said.
London Metal Exchange copper stocks rose 1,500 tonnes to 122,725 tonnes on Monday. At 11.30 a.m., the benchmark June copper on the MCX was up 0.27 per cent to Rs351.90.
Zinc and lead too opened flat tracking copper. The benchmark May zinc the MCX was up 0.31 percent at Rs97.10 and May lead was up 0.52 percent at Rs95.90 per kg.
