Gold trades lower

GOLD snapped its three-day long winning streak in the domestic markets on Tuesday as stockists took profits after a steep fall in international markets. In Mumbai, standard and pure gold traded Rs 35 and Rs 45 lower at Rs 11,750 and Rs 11,805 per 10 gm, respectively.

Some investors sold gold to raise funds for paying losses incurred on the equity markets. However, falling prices are yet to attract buyers as they expect more correction in prices. In Delhi, gold prices slipped to Rs 11,910, down Rs 160 over the previous close. While in Kolkata, the precious metal softened by Rs 80 to Rs 12,080, it closed at Rs 11,840 per 10 gm.

In international markets, gold lost more than 2% on the back of stronger dollar and lower crude prices. Even a steep fall in equity prices failed to lure buyers of safehaven metal. A recovery in oil and base metals prices on Monday was short-lived as fears over the outlook for the global economy resurfaced.

In London, spot gold fell to $732.20/734.40 an ounce at 9:30 pm IST, down from $745.75 in New York on Monday, when it rose as much as 3%.