India gold futures up, but firm dollar weighs

Enlarge Photo A model poses with gold jewellery during a jewellery show in Kolkata November 1, 2007....

Wed, May 7 11:34 AM

MUMBAI (Reuters) - India's gold futures were up on Wednesday tracking overseas markets, where the metal edged up with support from crude oil that hovered near its all-time highs, analysts said.

"The market may stay rangebound... if at all there is a bias, it is a downward one," said K.N. Rahaman, deputy research head at Way 2 Wealth Securities Ltd.

Though a boost from crude oil helped push gold to a week's high the previous day, the metal faced downward pressure from a firmer dollar after a U.S. Federal Reserve official said interest rates would need to be raised.

The benchmark June gold on the Multi Commodity Exchange of India Ltd (MCX) is likely to hover within 11,500 rupees and 11,690 rupees per 10 grams range, said an analyst at IL&FS Investsmart Commodities Ltd.

Following are gold prices in rupees per 10 grams on the Multi Commodity Exchange of India Ltd. at 11:20 a.m. :

Contract Current price Net change

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June 11,614 14

August 11,675 24

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