Prices on the Shanghai Gold Exchange were about $7 an ounce higher than the global benchmark, an indication of good demand. Premiums were about $4-$5 last week. The metal for delivery in February was trading higher by Rs 64, or 0.24 per cent, to Rs 26,794 per 10 grams in a turnover of 396 lots. According to analysts, a firming trend in global market where gold extended gains from one-month low, influenced the precious metal in futures trade.
Oil edged up on Tuesday, recovering from a five percent plunge in the previous session that saw prices touch fresh 5-1/2 year lows in an oversupplied market. Growth in oil supplies showed no sign of abating, with output in Russia hitting a record high in 2014 and exports from OPEC's second largest producer Iraq the highest since 1980. Jitters over political uncertainty in Greece drove investors out of risk assets globally to safe haven bonds.