Gold Futures: Scope for a near-term rebound

Open interest in gold futures markets shrank for the first time after six consecutive daily builds on Thursday, this time by around 1.2K contracts according to preliminary readings from CME Group. Volume, instead, went up by more than 26K contracts amidst the prevailing erratic performance.

Gold meets initial contention near $1880

Gold prices retreated for the fourth straight session on Thursday. The downtick was on the back of shrinking open interest and is indicative that the downtrend could be running out of steam. In the meantime, the $1880 region per troy ounce emerges as an initial support for the time being.