Gold futures up at Rs 27,398 on firm global cues

Gold futures rose on Friday amid positive cues from global market and weaker dollar boosted the demand for gold due to its inverse relationship with the greenback.

Historically, gold and dollar share an inverse relationship with each other and the recent slip in dollar has aided gold.

On the Multi Commodity Exchange, gold for February 2012 delivery rose Rs 51 or 0.19% to Rs 27,398 at 1.50 pm IST and had touched intraday high of Rs 27,430.

Similarly, the metal for April contract up by Rs 57 or 0.21% to Rs 27,781 and touched intraday high of Rs 27,795.

While, silver for march delivery also rose by Rs 328 or 0.61% at Rs 53,715 and touched intraday high of Rs 53,800.

US spot gold declined, it was seen trading in the range of $1,655.09 an ounce.

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