MCX Gold witnesses modest correction after latest gains

MCX Gold futures slipped slightly in the early moves, giving up after a massive rally in the Friday's session.

Gold futures got a boost on the disappointing jobs data, which put to rest recent sentiments that the Federal Reserve may consider tightening policy in the coming months.

The U.S. Bureau of Labor Statistics reported earlier the economy added 88,000 nonfarm payrolls in March, way below expectations for a gain of 200,000 and below the 268,000 jobs added in February.

The metal edged up at a ferocious pace following this, adding nearly 30 dollars in intraday moves.

The counter currently quotes at $1576.90, up $1 per ounce on the day.

The US non farm data revealed that the private sector added 95,000 jobs last month, after an increase of 254,000 in February, missing expectations for a 209,000 rise.

The report also showed that the U.S. unemployment rate ticked down to 7.6 per cent in March, from 7.7 per cent the previous month, as more Americans left the labor force.

The news sent the dollar falling and gold rising on expectations for the Federal Reserve to keep monetary stimulus programs in place, including its USD85 billion monthly bond-buying program that weakens the greenback as a side effect.

The June COMEX gold futures had tumbled to 10 month low of $1539.4 earlier this week, however it jumped back to end the fortnight at $1575.9 an ounce.

It rallied to a one-month peak in March on worries about fiscal stability in Europe, as politicians scrambled to clinch a bail-out for Cyprus.

Fear that central banks' money-printing to buy assets will stoke inflation has been a key driver in boosting gold, which rallied to an 11-month high in October after the Fed announced its third round of aggressive economic stimulus.

The international gold prices are down nearly $80 from its last year's level as the US dollar has appreciated.

The June COMEX gold futures are trading at $ 1575.9 an ounce as on 5th April 2013 whereas last year the metal has been trading near $1650 an ounce levels.

The US dollar has gained nearly 2 per cent in April 2013 compared to the same period last year.

There could be some upside resistance for the yellow metal after the massive array of gains seen on Friday.

The US dollar is quoting just under 1.3000 levels against the Euro, coming off its two-week low levels.

MCX Gold futures slipped as the Rs 29800 barrier yet again triggered a correction.

The counter quotes at Rs 29707, down Rs 60 per 10 grams on the day with 1 per cent drop in the open interest.

12.35: Tata Motors, the lead gainer up around  4.5 per cent at Rs 281 among Sensex-30 stocks.


12.30: Among Asian markets, the Shanghai, Hang Seng and Nikkei have shed over 1.5 per cent each at 2,076, 21,768 and 8,837, respectively.

12.25: BHEL, Dr.Reddy's, ITC Hindalco and Tata Steel are the other losers among Sensex-30 stocks.

12.21: Gail India has shed over 2 per cent at Rs 357, Petronet LNG has dropped over 1.5 per cent at Rs 168. Cairn India, Reliance and ONGC are the other losers among Oil & Gas stocks.

12.15: PSU OMCs edge higher as crude hits 4-month low.

12.10: Among sectors, the Oil & Gas, IT and Bankex indices have declined over 0.5 per cent each at 8,281, 5,7780 and 13,317, respectively.

12.05: The market breadth is negative, out of 2,518 stocks traded on BSE 1,240 have declined and 1,146 have advanced.

12.00: The Bank Nifty is down 62 pints at 11.603.

11.55: Gail India and Tata Power have shed over 2 per cent each at Rs 358 and Rs 102. Larsen & Toubro, ICICI Bank and Infosys are the other notable losers amond Sensex-30 stocks.

11.50: Tata Motors has zoomed over 5.2 per cent at Rs 283, Bharti Airtel and Sun Pharma have rallied over 1.5 per cent each at Rs 276 ands Rs 713, respectively. Cipla has gained over a per cent at Rs 400 among Sensex-30 stocks.

11.45: Buy Dish TV @ Rs 75.85, Target @ Rs 78, Stop Loss @ Rs 75 - Prakash Gaba to ET Now.

11.40: Emami scales record high after good Q2 earnings.

11.35: Buy Zee Entertainment @ Rs 198.40, Targer @ Rs 212, STop Loss @ Rs 194 - Sandeep Wagle to ET Now.

11.30: The broader markets BSE Smallcap index is marginally up at 7,144 and BSE Midcap index is marginally down at 6,716.

11.25: Among Asian markets, the Hang Seng and Nikkei have shed over 1.5 per cent each at 21,768 and 8,837, respectively. The Shanghai has dropped over a per cent at 2,083.

11.20: Buy HPCL November futures @ Rs 307.50, Target @ Rs 322, Stop Loss @ Rs 300 - Aswani Gujral to ET Now.

11.15: Buy Emami @ Rs 614, Target @ Rs 640, STop Loss @ Rs 585 - Aswani Gujral to ET Now.

11.10: Infosys, ICICI Bank, Larsen & Toubro, Reliance, HDFC and ITC are the major draggers, accounting for a loss of 79 points on the Sensex.

11.00: The market breadth is negative since morning session, out of 2,286 stocks traded on BSE 1,154 have declined and 1,021 have advanced.

11.00: Tata Motors inches up after Q2 results.

10.55: The Bank Nifty is down 66 points at 11,599.

10.50: The Capital Goods, IT and Power indices have shed over a per cent each at 11,014, 5,762 and 1,982, respectively among Sectoral indices.

10.45: Tata Motors tops the volume chart with a turnover of Rs 47.96 crore on the Sensex.

10.40: SBI, TCS, Hero MotoCorp, ITC, Reliance, NTPC, HDFC, Sterlite and Wipro have declined over 0.5 per cent each among Sensex-30 stocks.

10.35: Hexaware Tech has shed over 1.5 per cent at Rs 113, Infosys has dropped over a per cent at Rs 2,366. HCL Tech, TCS and Tech Madindra are the other losers among IT stocks.

10.30: The market breadth is negative, out of 2,004 stocks traded on BSE 998 have declined and 919 have advanced.

10.25: The broader markets BSE Mid-cap and BSE Small-cap indices are marginally dwon each at 6,708 and 7,137, respectively.

10.20: Tata Motors has soared around 4 per cent at Rs 279, Sun Pharma has rallied around 1.5 per cent at Rs 711, among Sensex-30 stocks.

10.15: Stocks with high open interest

10.10: Buy United spirits @ Rs 1,316.90, Target @ Rs 1,420, Stop Loss @ Rs 1,274 - Mitesh Thacker to ET Now.

10.05: Tata Power has tumbled over 2 per cent at Rs 101. Siemens, Lanco  Infra, GMR Infra have shed over 1.5 per cent each at Rs 693, Rs 12 and Rs 21, respectively, among Power stocks.

10.00: The market breadth is negative in early morning session, out of 1,776 stocks traded on BSE 951 have declined and 746 have advanced.

09.55: The Auto index has gained over 0.5 per cent at 10,702. The Health Care index is up over 0.2 per cent at 7,876, among sectoral indices.

09.50: The Bank Nifty is down 98 points at 11,567.

09.45: Buy Colgate @ Rs 1,300.30, Target @ Rs 1,375, Stop Loss @ Rs 1,279- Mitesh Thacker to ET Now.

09.40: HDIL, Suzlon Energy in F&O ban period.

09.35: Among sectoral indices, the Power and IT indices have shed around a per cent each at 1,983 and 5,772, respectively. The Teck, Bankex and Realty indices are the other losers.

09.30: Tata Motors has jumped over 2 per cent at Rs 275, Sun Pharma has rallied over a per cent at Rs 709, Hindustan Unilever and Dr.Reddy's are the other gainers among Sensex-30 stocks.

09.25: The broader markets have also open in negative zone. The BSE Mid-cap index has declined over 0.5 per cent to 6,681 and BSE Small-cap index is down over 0.4 per cent at 7,150.

09.20:  Wipro has tumbled over 2 per cent at Rs 359, Tata Power has shed over 1.8 per cent at Rs 102. ICICI Bank, SBI, Sterlite, Infosys and Hindalco have dropped over a per cent each among Sensex-30 stocks.

09.15: The markets have opened in negative zone. The Sensex is down 144 points at 18,757. The Nifty is down 51 points at 5,709.

09.10: The Pre-opening session, the Sensex is down 122 points at 18,779. The Nifty is down 51 points at 5,709.

09.01: The Rupee opens weaker by 0.5 per cent against dollar at 54.

08.55: Asian markets start in a negative zone.

08.50: Aditya Birla Nuvo, Ashok Leyland, Asian Hotels and Bhartatiya Global to announce quarterly results.

08.45: US markets slumps 2%.

08.40: The SGX Nifty is down 50 points at 5,750.