Is RPL Project is Started or not?
"The falling crude oil price is pulling down the gold," said Harish Galipelli, head of research, Karvy Comtrade Ltd.
Oil fell more than half a percent to near $134 a barrel on Monday as Saudi Arabia prepared to push production to its highest rate in decades to help keep pace with demand.
Crude oil and gold move in tandem as the former signals inflation, while the latter is a hedge against rising prices.
There is no big upside seen in the market due to a strong rupee, said an analyst with Motilal Oswal Commodities Broker Pvt Ltd.
The rupee nudged higher on Monday, supported by gains in the stock market, which revived hopes for foreign portfolio inflows, but dollar demand from firms checked gains.
Most of India's gold is imported and a firm rupee makes imports cheaper.
The August contract on MCX is expected to trade in the range of 12,000- ...more