SHANGHAI, Sept. 20 (SMM) -- Most active SHFE 1112 gold contract opened RMB 8.71/gr lower on September 20th and closed at RMB 368.8/gr, down RMB 8.15/gr or 2.16% from previous trading day. Highest and lowest prices during the day were RMB 369.5/gr and RMB 366.16/gr. Shanghai Gold Exchange (SGE) Au9999 spot gold closed at RMB 370.5/gr, down RMB 6.04/gr or 1.6% from previous trading day.
Due to excessive speculation activities, gold demand failed to increase despite a downgrade of Italian debt rating by Standard & Poor’s, with global gold prices closing lower overnight. Shanghai gold prices opened much lower today, and fluctuated downward with losses slightly narrowing at the tail of trading. SMM expects gold to maintain downward fluctuation in the short term as investors are closely watching the two-day interest rate meeting of US Fed.