Bullion firm; oil prices down

Mumbai, April 16:

BULLION: Gold and silver prices ruled firm on the bullion market here on Monday as traders reported brisk speculative interest for both the precious metals following historical rise in dollar value against rupee, tight supplies and news of recovery in the global market, dealers said.

Standard gold moved up by Rs 10 at Rs 4,270 per 10 gm. It was down by Rs 5 on Saturday. Gold .22 carat recovered by same margin at Rs 3,950 in sympathy.

Price of gold biscuits (116.50 gm) shot up from Rs 49,850 to Rs 50,000 before settling at Rs 49,950 with a overnight gain of Rs 100 per piece. Gold biscuit was down by Rs 50 on Saturday. Physical buying was slow but traders reported hectic speculative buying amidst tight supplies, spurt in dollar value and bullish overseas advices. Dollar prices hardened to Rs 47.05 before closing the day at Rs 47 which is a new peak level. In the overseas market gold looked up from $260.15 to $260.50 per troy ounce. Silver .999 on the other hand placed Rs 25 higher at Rs 7,425 per kg. It was up by Rs 20 on Saturday.

OIL,OILSEEDS: Groundnut oil ruled weak on the oil and oilseeds market here on Monday. Castorseed and its oil held at the reduced level while traders reported two-way movements in the futures market as rise in dollar value triggered early rally but fresh bear unloading took heat out of the market in the later part of the session. Groundnut oil closed a rupee lower at Rs 314 per 10 kg in the absence of fresh buying interest coupled with steady summer crop arrivals. In Rajkot, it was changed hands at Rs 520/525 per 15 kg.

Imported palm oil slide by a rupee at Rs 239 per 10 kg. In the global market prices slipped from $242.50 to $240 per tonne. Long deliveries were available at $242.50/245 per tonne. Castor oil ruled steady at the reduced level of Rs 255/267 per 10 kg as rally in dollar value prompted fresh overseas enquiries. Castorseed ready were maintained at Rs 1,125 per quintal.

In the futures section castorseed June delivery initially placed firm at Rs 1,163 (Rs 1,162) but closed lower at Rs 1,160 per quintal. Castorseed June delivery reacted by Rs 3 at Rs 275 per 10 kg. In Ahmedabad the trend was weak. June delivery declined to Rs 1,125 and in Rajkot at Rs 1,110.50 per quintal respectively.