Isra-Mart srl: Gold may rebound ahead of Indian festival demand

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MCX Gold futures traded low volatility and settle upside by more than 0.26 percent to 25740 rupees. U.S. labor data showing signs of improvement kept precious metals in a tight trading range.

Gold jumped more than 1 percent on Friday after Germany approved the expansion of the euro zone bailout fund, offering temporary relief to investors, but still precious metal was heading for its worst monthly decline in last three years.

Buying interest is still strong and people are rushing to stock up a bit before the holiday in China. There's also Indian buying because of the wedding season. Demand expected to remain moderately high due to Navratri and Diwali in month of October. Gold prices may rebound ahead of physical buying in Indian market.