Mild rally in bullion

DOMESTIC REVIEW/ BULLION

Domestic gold and silver prices rallied after three weeks of dull trade fuelled by improved international prices and approach of the festival season. Stockists, jewellery makers and industrial users bought heavily.

Spot London gold fix rose from last weeks $405.70 to close at $407.90 on Friday.

The December futures contract on the Comex in New York traded higher and closed at $409.85 on Friday.

During the week ended September 25, spot gold (99.50 purity) in Mumbai closed higher from last week's close of Rs 6135 at Rs 6195 on Friday per 10 gram.

Spot gold (99.90 purity) closed at Rs 6230 on Friday from last week's Rs 6170. Spot silver (.999) closed sharply higher from last week's close of Rs 10355 to end at Rs 10440 per kilogram.

The futures market was strong. The National Commodity Derivatives Exchange (NCDEX) October gold contract ended on Friday at Rs 6167 from Rs 6126 last week. The volumes were 96100 gram. Open interest stood at 457100 gram.

The November contract increased to Rs 6161 from Rs 6131, with open positions worth 254400 gram and a volume of contract of 18900 gram.

The December contract rose to Rs 6167 from last week's close of Rs 6134, with an open interest and volume of 6400 gram and 1100 gram respectively.

The pure gold (kilo) October contract ended at Rs 6150 from Rs 6080 last week, with an open interest of 5 kg.

NCDEX October silver futures closed at Rs 10228 with an open interest of 66310. The price rose from last week's Rs 10057.

The November contract closed at Rs 10264 compared with Rs 10125 last week. The open interest closed at 15410 kilogram while the volume of contract stood at 1885.

The December silver contract closed at Rs 10259 from Rs 10097 last week, with open interest of 975 and volume of 100.

Multi Commodity Exchange of India (MCX) October gold contract rose from Rs 6108 on Monday to Rs 6155, amid an open interest of 1600 kg and a volume of contract of 934 kg.

The December 3 contract closed at Rs 6157 from Rs 6116 last week with an open interest of 1512 kg and a volume of contract for 809 kg.

The December 3 silver contract closed higher again at Rs 10220 on Friday from Rs 10066 last week. The pen positions stood at 89820 kg and the volume of contract was 67440 kg.