Gold prices hit multi-week high in India

MUMBAI Fri Nov 9, 2012 4:19pm IST

Gold biscuits are displayed inside a jewellery showroom in Hyderabad April 11, 2012. REUTERS/Krishnendu Halder/Files

Gold biscuits are displayed inside a jewellery showroom in Hyderabad April 11, 2012.

Credit: Reuters/Krishnendu Halder/Files

Related Topics

MUMBAI (Reuters) - Gold importers in India, the world's biggest buyer of bullion, paused on fresh purchases ahead of key festivals next week, as a weaker rupee helped the yellow metal hit its highest level in seven weeks.

* At 1032 GMT, the most-active gold for December delivery on the Multi Commodity Exchange (MCX) was 0.93 percent higher at 31,632 rupees per 10 grams, after hitting a high of 31,643 rupees, a level last seen on October 1.

* The rupee, which traded weaker on Friday, plays an important role in determining the landed cost of the dollar-quoted yellow metal.

* "Sales have slowed as prices jumped after Friday's dip... we are hopeful that sales will start again next week," said Harshad Ajmera, proprietor of Kolkata-based wholesaler JJ Gold House.

* The festive season in India will peak with Dhanteras and Diwali next week, while the wedding season continues until December.

* Overseas gold rose to a three-week high on Friday, on track for its first weekly gain in four, on hopes that U.S. monetary policy would remain loose after President Barack Obama's re-election and as worries about looming fiscal woes boosted bullion's appeal.

* Silver also moved higher following the yellow metal.

* Silver for December delivery on the MCX was 0.91 percent higher at 60,432 rupees per kg.

(Reporting by Siddesh Mayenkar; Editing by Jijo Jacob)

FILED UNDER:

Surprise Rate Cut

Reuters Showcase

Eicher Share Sale

Eicher Share Sale

Truck maker Volvo sells shares in Eicher Motors  Full Article 

Beef Ban

Beef Ban

After beef ban, Hindu groups force abattoirs to close   Full Article 

Services Growth

Services Growth

Services growth at eight-month high in Feb - HSBC PMI  Full Article 

StanChart Results

StanChart Results

StanChart rules out share sale as profit plunges 25 pct  Full Article 

Jim O’Neill Interview

Jim O’Neill Interview

'India can become world’s fifth-largest economy by decade’s end'  Full Article 

Coal Imports

Coal Imports

India coal imports in Feb jump from year ago, but drop m/m  Full Article 

Next Superhero

Next Superhero

Franchise Man swoops in to save Bollywood  Full Article 

Budget 2015

Budget 2015

Budget announcements and reactions from the industry  Full Coverage 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device  Full Coverage