Gold for December delivery are trading flat at $ 1771 an ounce on the Comex division of the New York Mercantile Exchange. Yesterday, it closed up $5.5, or 0.3%, to $1,770.6 and during the intraday trading it rose to a high of $1,774.5.
The US dollar softened yesterday after series of gains since Standard & Poor's Ratings Services had cut Spain's credit rating to BBB-, just one notch above junk status. The ICE dollar index, which measures the greenback against a basket of six other currencies, fell by almost 0.25% on Thursday.
In news yesterday, the Labor Department in US reported that number of U.S. workers who filed new applications for unemployment benefits dropped sharply, by 30,000, last week to 339,000, the lowest level in more than four years.
Separate report showed that the trade deficit widened to $44.2 billion during August after the prior month's reading was revised down to $42.5 billion. Market had expected that the deficit would come in at $43.6 billion.
MCX December gold futures may open today’s session near Rs 31350-70 levels with resistance near Rs 31410-20 levels.
Next week, the minutes of the Reserve Bank of Australia’s latest monetary policy meeting will dominate the markets. Also due next week are the consumer price index figures in the United States, and Chinese inflation. In the corporate world, a number of miners will release quarterly production reports including Rio Tinto, BHP Billiton and Fortescue Metals.
