Crude oil futures closed higher in the domestic market on Tuesday after the American Petroleum Institute reported a 7.6 million-barrel drop in U.S. crude supplies for the week ended Sept. 30.
At the MCX, crude oil futures for October 2016 contract closed at Rs 3259 per barrel, up by 0.40 per cent, after opening at Rs 3239, against a previous close of Rs 3246. It touched the intra-day high of Rs 3274.
Silver futures closed lower in the domestic market on Tuesday as participants engaged in trimming their positions taking weak cues from global market. Marketmen attributed the fall in silver prices at futures trade to a weak trend in the precious metals overseas and profit-booking by participants at existing levels.
At the MCX, silver futures for December 2016 contract closed at Rs 42,925 per kg, down by 4.38 per cent, after opening at Rs 44,968, against a previous close of Rs 44,893. It touched the intra-day low of Rs 42,570.
Gold futures closed lower in the domestic market on Tuesday as the dollar continued to flex its muscle against leading rivals, the pound in particular, cutting demand for commodities priced in the U.S. currency.
The prospect for higher U.S. interest rates is typically a negative for gold, which is snubbed in favor of asset classes that offer a yield that precious metals don’t. What’s more, higher interest rates can boost the dollar and dull demand for dollar-denominated commodities, including gold. That means gold and the dollar often move inversely.
At the MCX, gold futures for October 2016 contract ended at Rs 30,149 per 10 grams, down by 1.41 per cent, after opening at Rs 30,645, against a previous close of Rs 30,579. It touched the intra-day low of Rs 29,885.