Silver futures tumble on Fed taper bets
28/05/2014 09:32
Silver futures slumped in the domestic market on Tuesday as investors and speculators exited positions in the precious metal tracking a bearish trend in the overseas market as US equities rose to a record, curbing inflows into the bullion, a safe haven asset. Further, robust economic data from the US including manufacturing, services and consumer confidence signaled that the US Federal Reserve may continue to pare its monthly bond buying program in the coming months, dimming the appeal of the bullion, a hedge against the inflationary risk of monetary stimulus. At the MCX, Silver futures for July 2014 contract closed at Rs. 40365 per 1 kg, down by 1.98 per cent, after opening at Rs. 41160, against the previous closing price of Rs. 41183. It touched an intra-day low of Rs 40212.
28/05/2014 09:32
Silver futures slumped in the domestic market on Tuesday as investors and speculators exited positions in the precious metal tracking a bearish trend in the overseas market as US equities rose to a record, curbing inflows into the bullion, a safe haven asset. Further, robust economic data from the US including manufacturing, services and consumer confidence signaled that the US Federal Reserve may continue to pare its monthly bond buying program in the coming months, dimming the appeal of the bullion, a hedge against the inflationary risk of monetary stimulus. At the MCX, Silver futures for July 2014 contract closed at Rs. 40365 per 1 kg, down by 1.98 per cent, after opening at Rs. 41160, against the previous closing price of Rs. 41183. It touched an intra-day low of Rs 40212.
