Spot Gold Trading Range an Ounce

SPOT GOLD news - spot gold is once again back in its tight trading range of $1720-1750 an ounce tracking economic uncertainty. International Gold slightly positive on Friday but MCX Gold Feb contract remained lower on account of INR appreciation against USD by 0.50% in opening trade. Overall sentiments for Bullion commodities are looking sideways to negative. MCX Gold February contract is set to find major support at Rs 31700 and resistance above Rs 32000. MCX Silver March contract expected to trade sideways withimportant support at Rs 64000.

Gold capped its biggest weekly drop in more than five months on concern that U.S. lawmakers may fail to reach a settlement in talks aimed at avoiding self-imposed tax increases and budget cuts known as the fiscal cliff.

Gold futures for February delivery slid 1 percent to settle at $1,712.70 an ounce at 1:43 p.m. on the Comex in New York. Prices retreated 0.4 percent this month, the second straight loss.

Silver futures for March delivery fell 3.3 percent to $33.279 an ounce on the Comex. Prices dropped 2.7 percent this week, the most since Nov. 2.

CME Group has announced a record in daily trading volume for COMEX Gold Futures. These contracts are listed by and subject to the rules of COMEX.

On November 28, COMEX Gold Futures reached a record daily volume of 486,315 contracts, surpassing the previous record of 484,721 set on May 29, 2012.

"Our Gold Futures contract continues to be the most liquid and transparent benchmark in the global gold marketplace," said Harriet Hunnable, Managing Director, Metals Products, CME Group. "This record volume is indicative of investors' reliance on gold futures to manage their exposure to changing world events as well as supply and demand factors in the metals marketplace."

CME Group has shown robust activity across many metals products this week which has pushed average daily volume (ADV) for its metals complex above 415,000 contracts so far in November, marking the second time this year that monthly ADV has edged higher than 400,000 contracts.