Gold is likely to rule flat and come under pressure in domestic and futures market on Monday as wary investors and customers look at the yellow metal with suspicion.

With investors in coins and bars looking to book profit and the cashing out of the exchange-traded products on the rise, the precious metal could face bear onslaught. Improving prospects for economy will, on the other hand, reduce demand for gold’s haven status.

In early Asian trade at Singapore, spot gold was down marginally at $1,479.80 an ounce, while gold futures maturing in June dropped to $1,482.50.

In the domestic market on Saturday, gold for jewellery (99.5% purity) plunged to Rs 27,880 for 10 gm and pure gold (99.9% purity) to Rs 28,030.

Any marginal movements in the bullion market could also be swayed by currency movements. Any fall in the dollar against the rupee could make imports of commodities such as gold, crude oil and vegetable oils cheaper.

Crude oil heads south on concerns over slow economic growth. Crude oil supply is seen exceeding demand, thus turning bearish.

Brent crude May contracts fell to $102.76 a barrel, while West Texas Intermediate (NYMEX) crude ruled at $90.56.

Fears that rain in the US and snow in Canada could affect corn and soyabean crop could help the grains complex gain.

Soyabean on the Chicago Board of Trade (CBOT) electronic trade rose to $13.76 a bushel, while crude palm oil for delivery in June on Bursa Malaysia Derivatives Exchange ruled at 2,345 ringgit ($771) a tonne.

Corn (industrial maize) edged up to $6.37 on CBOT.

Wheat also was up as the cold weather could cause harm to the winter crop in the US plans. In early trade, it gained at $7.15 a bushel.

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