Gold futures down on weak buying support


GOLD futures contract on Bursa Malaysia Derivatives Exchange extended Wednesday’s losses to end easier yesterday, on weak buying support, dealers said.

A dealer said the stronger greenback against a basket of currencies, including the ringgit, along with the rebound in US stocks, had lifted investors’ risk appetite.

These initiated a spillover effect on gold prices.

US Federal Reserve’s chief Jerome Powell told US Congress members that rate increases should continue despite the added stimulus of tax cuts and government spending and this also put pressure on the prices.

March 2018 and April 2018 fell 35 ticks each to RM166.00 a gramme and RM166.75 a gramme respectively while May 2018 eased 22 ticks to RM167.50 a gramme and June 2018 decreased 19 ticks to RM167.50 a gramme.

Volume rose to three lots worth RM49,800 against two lots worth RM33,700 on Wednesday, while open interest declined to 61 contracts from 71 contracts on Wednesday.

At 5pm yesterday, physical gold was 65 sen lower at RM160.04 a gramme. — Bernama