Spot gold reached a peak of USD 1,169.00 an ounce and was up 0.6 percent at USD 1,163.96 an ounce at 1401 GMT, while U.S. gold futures for December delivery settled up USD 8.60 an ounce at USD 1,164.50.
Vandana Hari, Asia Editorial Director of Platts is not surprised at the IEA forecast of slower oil demand growth and says it was expected because the IEA usually goes by the forecast on economic outlook, which the IMF, ADB has lowered in the recent times.
According to the IEA's latest monthly market report for October, global demand growth is expected to slow from its five-year high of 1.8 million barrels a day (mb/d) in 2015 to 1.2 mb/d in 2016 "closer towards its long-term trend as previous price support is likely to wane," the IEA said.
Watch the interview of Kunal Shah of Nirmal Bang Commodities and Kishore Narne of Motilal Oswal Commodity Broker with Ekta Batra and Anuj Singhal on CNBC-TV18. They spoke about the current trend in commodities markets.
According to Angel Commodities, Chana price may trade sideways to higher on diminishing supplies against good festival demand. Imposition stock limit at WDRA warehouses and fresh notification to allow duty free chana until Dec 31, 2015 may keep the supplies sufficient in the domestic market.
According to Angel Commodities, on the other hand, the investment demand seems to have gain traction since past two weeks supporting gold prices. However, the international markets are down by around 1percent, hence gold prices on the MCX are expected to trade lower today.