Gold demand subdued on bank holiday, flat prices
MUMBAI (Reuters) - Gold demand in India, the world's biggest buyer of the metal, was subdued on Tuesday as banks were closed and prices were barely changed.
As of 3:22 p.m., the most active gold contract for April delivery on the Multi Commodity Exchange (MCX) was 0.02 percent higher at 30,181 rupees per 10 grams.
"Prices are steady. If they fall below the 30,000 rupees level, we can see higher demand, especially from jewellers," said an official with a Mumbai-based jewellery exports firm.
India's domestic bond and currency markets are closed on Tuesday for a banking holiday.
The rupee plays an important role in determining the landed cost of the dollar-quoted yellow metal.
In overseas markets, gold rose for a second straight session on Tuesday, buoyed by strong physical buying in Asia after traders in China returned from a week-long break.
India's government may further raise import duties on gold or put a cap on purchases in a bid to rein in the current account deficit in the 2013/14 budget, an official with the biggest state-run gold importer MMTC said.
The silver contract for March delivery on the MCX was 0.07 percent higher at 56,255 rupees per kg.
(Reporting by Rajendra Jadhav; Editing by Subhranshu Sahu)
- Tweet this
- Share this
- Digg this
- UPDATE 4-Malaysia Airlines plane crashes in South China Sea with 239 people aboard - report
- Malaysian plane with 239 aboard crashes - report
- UPDATE 3-U.S. FDA probes cognitive impact of new cholesterol drugs
- Malaysia Airlines loses contact with plane carrying 239 people
- No signal picked up from missing Malaysia Airlines plane - Vietnam official
Missing Malaysian Plane
A Malaysia Airlines flight carrying 227 passengers and 12 crew went missing over the South China Sea on Saturday, presumed crashed, as ships from countries closest to its flight path scoured a large search area for any wreckage. Full Article | Slideshow