Gold hits 1-week high; most importers still away
MUMBAI (Reuters) - Indian gold extended gains for a fourth session to revisit its highest level in nearly a week, with most importers refraining from deals in the middle of the wedding season, eyeing the U.S. Federal Reserve meeting starting Tuesday.
* The wedding season, which started in September and peaked last month, continues until early January. Gold is an essential gift item during this season in India, the world's biggest consumer of the metal.
* "Just need based covering is going on in the physical market... market is waiting for FOMC outcome for direction," said a dealer with a private bullion importing bank in Mumbai.
* The actively-traded gold for February delivery on the Multi Commodity Exchange (MCX) was 0.17 percent higher at 31,378 rupees per 10 grams, after hitting a high of 31,408 rupees, the highest since December 5, following similar leads in global markets.
* Investors are also watching the progress in the U.S. fiscal talks and potential political uproar in Italy, which could jolt the market where liquidity is starting to thin as traders close books before the end of the year. The U.S. Federal Reserve policy meeting is scheduled on Tuesday and Wednesday.
* The rupee, which traded stronger, kept the rise in prices limited. The local currency plays an important role in determining the landed cost of the dollar-quoted yellow metal.
* Silver for March delivery on the MCX was 0.57 percent higher at 62,938 rupees per kg, after hitting a crest at 62,975 rupees, a level not seen after November 30. (Reporting by Siddesh Mayenkar; Editing by Jijo Jacob)
- Tweet this
- Share this
- Digg this
- UPDATE 2-Concordia finally heads for scrapyard after massive salvage operation
- Seven arrests made in $1.6 million StubHub cyberfraud case |
- Facebook beats Wall Street targets, stock hits record high |
- UPDATE 3-Seven arrested internationally in $1.6 million StubHub fraud
- Sierra Leone's chief Ebola doctor contracts the virus
India will not support a trade facilitation protocol ahead of a July 31 deadline unless its concerns about subsidies are met, two senior government officials said on Wednesday, sticking to a hard line critics say could derail a landmark global trade deal. Full Article
Jet Airways chairman says looking to restructure debts, talking to bankers Full Article
Honda's India unit to account for 25 pct of Asia Pacific sales by March 2017 - exec Full Article