MUMBAI: India gold futures may tread higher this week to revisit the 17,000-rupees mark helped by a weaker dollar overseas, which enhances the yellow metal's appeal as an alternative investment, analysts said.
The most-active February gold contract was 0.50 percent higher at 16,817 rupees per 10 grams at 5:05 p.m., after hitting a high of 16,836 rupees earlier. February gold last saw the 17,000-rupees level on Dec 21.
"After a brief correction, market is likely to resume its upward trend due to possible weakness in dollar and strong investment demand," said Harish Galipelli, head of research with JRG Wealth Management in Kochi.
"Dollar weakness overseas would help gold," said Priyank Upadhyay, head of research with Commtrendz Research. Gold struck a record high 18,364 rupees on Dec. 3, when a weak dollar overseas spurred buying in the yellow metal.
