Bullion Update, Precious Metals Trading and Market Outlook: Nirmal Bang

Bullion Update, Precious Metals Trading and Market Outlook: Nirmal BangPrecious metals declined sharply on COMEX on the back of a strong dollar rally and improving risk appetite which prompted funds to switch money out of the commodities sector and into other investments.

Gold futures broke below $940 an ounce on Friday, losing 2 percent while Silver futures lost around 4% percent on COMEX. However, precious metals ended flat on MCX.

Holdings of the SPDR Gold Trust, the world's largest bullion exchange-traded fund, were static for a fourth session on Friday.

The Reuters/University of Michigan Surveys of Consumers' preliminary June consumer sentiment index rose to 69.0, a nine-month high, from May's final reading of 68.7, according to a report released on Friday.

Asset manager Fortis Investments told Reuters it favors gold as a longer-term play on both inflation and deflation. Gold is seen as an asset that holds its value in volatile times.