COMMODITY TIPS | Gold futures ended lower in the Asian market on Tue as investors and speculators exited positions in the precious metal tracking a weak trend in the Foreign market as a surge in equities dimmed the luster for Gold as an alternative asset.

Upbeat US GDP data which showed that consumer spending boosted economic growth amidst a slowdown overseas vindicated the US Fed Reserve’s decision to raise interest rates for the first time in almost a decade last week, curbing the lure for the Bullion as a store of value.

The US economy grew at an annualized pace of 2 per cent in the September 2015 quarter, up from an estimated gain of 1.9 per cent by analysts.

The Fed last Wednesday decided to raise interest rates by 25 basis points, ending a prolonged period of uncertainty surrounding the US rate outlook, even as the world’s top central bank signaled that policy tightening will be done at a “gradual” pace.

Gold, a non-interest bearing asset, tends to lose sheen in a rising interest rate processes.

Gold may trade on a cautious note today ahead of key US worth data including durable goods orders, new home sales and consumer sentiment.

At the MCX, Gold futures for February 2016 contract closed at Rs 25,251 per 10 gram, down by 0.53 per cent after opening at Rs 25,339, against the previous closing cost of Rs 25,385. It touched the intra-day low of Rs 25,230.