India gold seen gaining,copper flat

Overseas gold held below its record high,supported by worries about the spreading euro zone debt crisis and slowing global growth,while holdings in the SPDR Gold Trust rose for a second consecutive session.

The Indian rupee was a tad weaker in early trades weighed by persistent dollar demand by oil importers and overseas gains in the greenback.

The rupee plays an important role in determining the landed cost of the yellow metal,which is quoted in dollars.

Copper

Copper futures on the MCX are likely to steady near their lowest level in a month,following similar trend in overseas markets,analysts said.

Copper on the MCX last closed 1.12 percent lower at 425.90 rupees per kg,after hitting a low of 424.40 rupees,a level last seen in early July.

LME copper rose fuelled by continued supply fears and short-covering as it recovered from three-week lows struck the previous day after investors were disappointed by data on the U.S. services sector and factory orders.