Mild rise in home demand

DOMESTIC REVIEW/ BULLION

The domestic bullion market witnessed increased demand, in line with the global trend, last week. The dollar simultaneously weakened against the euro.

During the week ended May 15, spot gold (99.50 purity) closed slightly higher from last week's close of Rs 5640 at Rs 5675 per 10 gram. Spot gold (99.90 purity) rose from Rs 5690 to Rs 5725.

Spot silver (.999) also regained its sheen closing at Rs 9315 from last week's Rs 9110 per kilogram.

On the National Commodity Derivatives Exchange (NCDEX), the May 20 contract rose to Rs 5641 from previous week's closing of Rs 5618 with open position of 4,56,400. Volumes fell from 43,400 gram to 9100 gram.

June gold contract rose to Rs 5677 to Rs 5671. Volumes declined from 64400 gram to 18900 gram. Open interest increased from 2,93,900 gram to 3,12,200 gram.

July gold contract rose from Rs 5695 to Rs 5706. Volumes fell to 1700 gram from 29,200 gram. Open interest increased from 52300 gram to 58800 gram.

The pure gold (kilo) June contract closed at Rs 5647 from Rs 5615, with an open interest of just 1 kg and a from 4 kg last week against volume of 1 kg.

The NCDEX silver futures May contract closed at Rs 8931.50 from Rs 8893.90 amid an open interest of 12845 kg. Volumes declined during the week from 3945 kg to 640 kg.

June silver futures volumes fell from 361 kg to 83 kg while open interest increased from 12,075 kg to 14225 kg. The price rose to Rs 8946 from Rs 8910.50.

July silver futures volumes fell from 715 kg to 65 kg while open interest increased from 3135 kg to 3630 kg. The price rose to 8950 from Rs 8925.

On the Multi Commodity Exchange of India (MCX) June gold delivery fell to Rs 5653 from Rs 5667 amid an open interest of 1194 gram with a volume of 372 gram. The August contract however rose from Rs 5678 from last week's Rs 5689.

April mini gold on MCX dropped to Rs 5664 as against previous week's close of Rs 5678. There was a decline in volume of contracts from 20 gram to 5 gram, and open interest fell to 94 gram from 95 gram.

The July silver contract closed down at Rs 8947 compared to the previous week's close of Rs 8874. The Contract volumes declined from 21,120 kg to 7920 kg, the open interest was 12090 kg from 11730 kg.

The September silver contract closed down at Rs 9030 on Friday from Rs 9083 last week. The open interest increased to 540 kg from 480 kg and the volume of contract was 60 kg.

The July contract for mini-silver closed at Rs 8958 from Rs 8878 last week. The open interest declined to 1005 kg from 835 kg last week, and the volume of contract stood at 60 kg compared to 460 last week.