Gold importers on sidelines eyeing rupee

MUMBAI Fri Feb 8, 2013 4:43pm IST

A goldsmith checks a gold necklace at a workshop in Kolkata April 11, 2012. REUTERS/Rupak De Chowdhuri/Files

A goldsmith checks a gold necklace at a workshop in Kolkata April 11, 2012.

Credit: Reuters/Rupak De Chowdhuri/Files

Related Topics

MUMBAI (Reuters) - Gold importers in India stayed on the sidelines as the yellow metal continued to trade in recent price range, with a weaker rupee also denting sales.

* After a 50 percent import duty hike to 6 percent on January 21, the Reserve Bank of India on Wednesday recommended putting curbs on imports, along with launching gold-linked products to limit shipments.

* Gold for April delivery on the Multi Commodity Exchange (MCX) was 0.12 percent higher at 30,832 rupees per 10 grams.

* "We had some deals yesterday night after euro came down along with gold, but there has not been any movement so far as gold is steady and rupee has depreciated," said a dealer with a state-run bullion importing bank. "If the rupee appreciates, we may see good gold demand."

* Wedding and festival season is underway in India, the world's biggest buyer of the metal.

* A weaker rupee kept the prices supported. The rupee plays an important role in determining the landed cost of the dollar-quoted yellow metal.

* In the overseas market, gold regained its footing after the euro's weakness pulled it lower in the previous session, while platinum and palladium dropped from their strongest levels in more than a year.

* Silver for March delivery on the MCX was 0.46 percent higher at 58,307 rupees per kg.

(Reporting by Siddesh Mayenkar; Editing by Gopakumar Warrier)

FILED UNDER:

Reuters Showcase

GDP Growth

GDP Growth

India revises up 2013/14 GDP growth to 6.9 percent.  Full Article 

Pharma Deal

Pharma Deal

Sun Pharmaceutical wins U.S. approval to buy Ranbaxy  Full Article 

Adani Restructuring

Adani Restructuring

Adani hives off power, ports businesses to boost growth.  Full Article 

Bank of Baroda

Bank of Baroda

Q3 net profit down 69 pct on higher provisions  Full Article 

Trading Fees

Trading Fees

BSE slashes fees in FX derivatives battle with NSE  Full Article 

SpiceJet Turnaround

SpiceJet Turnaround

SpiceJet board approves up to $243 mln share sale plan  Full Article 

Currency Market

Currency Market

RBI urges companies to hedge FX exposure  Full Article 

Banking Sector

Banking Sector

Banks say no room to cut lending rates, thwarting RBI easing  Full Article 

Reuters Poll

Reuters Poll

RBI seen holding rates steady on Tuesday, minority of analysts expect cut  Full Article 

Reuters India Mobile

Reuters India Mobile

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