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1.Gold slides as support seen for Fed tapering GOLD futures slid in the early part of Thursday's Asian session after the release of minutes from the Federal Reserve's July monetary policy meeting showed support among Fed members for tapering the central bank's easing efforts at some point this year. On the Comex division of the New York Mercantile Exchange, gold futures for September delivery slipped 1.05% to USD1,355.60 in Asian trading Thursday. The September contract settled down 0.18% at USD1,370 per ounce Wednesday. Stimulus tools such as the Fed's USD85 billion in monthly bond purchases tend to weaken the dollar by driving down interest rates, making gold an attractive hedge, and talk of their dismantling can strengthen the dollar and weaken gold. "A few members emphasized the importance of being patient and evaluating additional information on the economy before deciding on any changes to the pace of asset purchases," according to the Fed minutes.That can be interpreted as some Fed members wanting to take a wait-and-see approach to tapering. However, "Almost all participants confirmed that they were broadly comfortable" with the committee reducing "the pace of its securities purchases later this year," the

minutes indicated.Most market participants expect tapering to arrive as soon as September, though some see the Fed pushing it off until December. The central bank added it expects the U.S. economy to continue improving in the second half of this year. 2.Gold slips for second day on stimulus worries Gold fell for a second session on Thursday after minutes from a Federal Reserve policy meeting failed to ease fears the US central bank would begin tapering its economic stimulus from next month. The minutes of the Fed's July 30-31 meeting, released on Wednesday, showed that a few officials thought last month it would soon be time to slow the pace of their bond buying "somewhat" but others counseled patience. Gold, often bought as a hedge against inflation, initially gained on the minutes due to the lack of consensus, but turned negative after US Treasury yields and the dollar rose. "I don't think the Fed minutes gave away too much," said Victor Thianpiriya, an analyst at ANZ in Singapore. "Not too much has changed (on the outlook for stimulus). But the reaction in Treasury yields and the dollar is impacting gold." Spot gold had declined 0.2 percent to USD 1,362.79 an ounce by 0332 GMT, after falling 0.3 percent the day before. US gold dropped about USD 7 to USD1,362.70.Traders said prices could see more downside if they fall below USD 1,355 an ounce, with support near USD 1,345. Ten-year US Treasury yields jumped to 2.92 percent, a level last seen in July 2011, as markets interpreted the minutes to mean the Fed did not completely rule out a scale back from next month. The US dollar also edged higher. 3.MCX Gold December contract trades lower At 10:52 hrs MCX Gold October contract was trading at Rs 31330 down Rs 114, or 0.36 percent. The Gold rate touched an intraday high of Rs 31426 and an intraday low of Rs 31216. So far 1958 contracts have been traded. Gold prices have moved down Rs 520, or 1.63 percent in the October series so far. MCX Gold December contract was trading at Rs 31261 down Rs 132, or 0.42 percent. The Gold rate touched an intraday high of Rs 31350 and an intraday low of Rs

31165. So far 79 contracts have been traded. Gold prices have moved up Rs 321, or 1.04 percent in the December series so far. 4.MCX Goldguinea October contract gains At 14:02 hrs MCX Goldguinea August contract was trading at Rs 25532 up Rs 92, or 0.36 percent. The Goldguinea rate touched an intraday high of Rs 25588 and an intraday low of Rs 25288. So far 3795 contracts have been traded. Goldguinea prices have moved up Rs 3826, or 17.63 percent in the August series so far.MCX Goldguinea September contract was trading at Rs 25316 up Rs 57, or 0.23 percent. The Goldguinea rate touched an intraday high of Rs 25395 and an intraday low of Rs 25100. So far 2053 contracts have been traded. Goldguinea prices have moved up Rs 4606, or 22.24 percent in the September series so far.MCX Goldguinea October contract was trading at Rs 25235 up Rs 80, or 0.32 percent. The Goldguinea rate touched an intraday high of Rs 25300 and an intraday low of Rs 25050. So far 158 contracts have been traded. Goldguinea prices have moved up Rs 2746, or 12.21 percent in the October series so far. 5.Gold demand absent as traders await resumption of imports GOLD demand in India remained subdued on Thursday due to non-availability of the yellow metal, even as prices hit their highest level in nearly nine months.India may re-start imports by as early as next week or so after the central bank clarified a new rule that brought the flow of the precious metal into the world's top gold consumer to a standstill at the end of July. "It has been exactly a month since we last imported ... there are no stocks in the market," said Haresh Acharya, head of bullion desk, Parker Bullion. At 2:41 p.m., the actively traded contract for October delivery on the Multi Commodity Exchange (MCX) was 0.22 percent lower at 31,513 rupees per 10 grams, easing from a high of 31,595 rupees hit earlier in the day, a level last seen on November 29, 2012. In the overseas market, gold fell for a second session after minutes from a Federal Reserve policy meeting failed to ease fears the US central bank would begin tapering its economic stimulus from next month. However, a weaker rupee limited the downside in prices. The rupee plays an important role in determining the landed cost of the dollar-denominated yellow metal. Silver

contract for September delivery on the MCX was 0.18 percent lower at 51,351 rupees per kg.

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