AsiaNet-Pakistan Premier Editorial Content and Press Release Distribution Service
Karachi, June 20, 2013 (PPI-OT): Gold: Raging around $1360 yesterday, the metal lost its luster, touching lows of $1285 as of today. Bernanke’s speech revealed the stance for curbing stimulus measures in the likelihood of economic recovery. Less quantitative easing with a strong dollar would always be a hit for gold. Prices tend to reach drops of 4%, with per tick prices fluctuating as much as 0.2% for gold: that’s about $2 drops.
China’s cash crunch seems to have a ripple effect on commodities. Being one of the largest markets of the world, any aberration of economic trends would lead to commodity price shocks. China’s benchmark money-market rate climbed to a record and a private report showed manufacturing shrank at a faster pace, spurring concerns that demand is slowing in the world’s biggest consumer of energy and metals. The Standard and Poor’s GSCI Index of 24 raw materials lost as much as 2 percent to 622.91, the biggest intraday loss since May 10, before reaching 624.29 as of 11:47 a.m. in London.
Gold was not the only metal with a price decline. Silver drops were more significant, showing drops of 6% during the day. The metal traces its value from monetary policies, but a more significant factor is that of the industrial demand. With Chinese news being against metal commodities, silver shows it volatile behavior yet once again.
Settlement Prices at PMEX were as follows with volumes at Rs. 9.1 billion with 33,021 lots traded:
GOLD: USD 1,298.2 /t oz
SILVER: USD 19.94 /t oz
CRUDE OIL: USD 96.32 / barrel
IRRI-6: Rs. 3,775 /100 kg
Palmolein: Rs. 4,530 / Mound
Sugar: Rs. 46.66/kg
Wheat: Rs. 3,349/100 kg
For more information, contact:
Sarang Abbasi
Asst. Manager, Risk and Analytics
Pakistan Mercantile Exchange
9th Floor, PRC Towers, 32-A,
Lalazar Drive M.T.Khan Road,
Karachi, Pakistan.
Cell: +92-03215148905
Fax: +92-35611263
UAN: +92-21-111-623-623, 99210650-61
Web: www.pmex.com.pk