Gold traders wary of fresh deals as prices hit one-month high

MUMBAI Mon Jul 22, 2013 2:57pm IST

A saleswoman arranges a gold necklace inside a jewellery showroom in Kochi April 16, 2013. REUTERS/Sivaram V/Files

A saleswoman arranges a gold necklace inside a jewellery showroom in Kochi April 16, 2013.

Credit: Reuters/Sivaram V/Files

Related Topics

MUMBAI (Reuters) - Gold traders in India, the world's biggest buyer of the yellow metal, refrained from striking fresh deals on Monday as prices rose to their highest in more than a month.

Gold imports into India fell about 81 percent in June from the previous month after the government raised import duty and stopped consignment imports.

"Demand has slowed down," said Suresh Jain, director of Bombay Bullion Association, adding that if prices fell sharply, traders would stock up for upcoming festivals and weddings, which start in mid-August and peak with Dhanteras in November.

At 2.56 p.m., the actively traded gold for August delivery on the Multi Commodity Exchange (MCX) was 1.59 percent higher at 27,1130 rupees per 10 grams, after having hit a high of 27,180 rupees, a level last seen on June 20, in tandem with overseas markets.

Global gold rose 1.7 percent to a one-month high on technical buying after the U.S. dollar slipped, but the precious metal is still down more than a fifth this year.

Traders and investors also eyed the movement in the rupee, which plays an important role in determining the landed cost of the dollar-quoted yellow metal.

Silver for September delivery on the MCX was 1.87 percent higher at 41,108 rupees per kg.

(Reporting by Siddesh Mayenkar; Editing by Sunil Nair)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

REUTERS SHOWCASE

Press Event

Press Event

Modi takes tea, but no questions, in first press event as PM.  Full Article 

School Shooting

School Shooting

Two killed, four wounded in Washington state school shooting.  Full Article 

Sundar Pichai Elevated

Sundar Pichai Elevated

Google's Pichai to oversee major products and services.  Full Article 

Need For Reforms

Need For Reforms

Euro zone risks "relapse into recession" without structural reforms - Draghi.  Full Article 

Diwali Sales

Diwali Sales

Gold sales jump about 20 pct for Diwali - trade body  Full Article 

World Bank Rival

World Bank Rival

Three major nations absent as China launches W.Bank rival in Asia  Full Article 

Wal-Mart India

Wal-Mart India

Murali Lanka appointed as Wal-Mart India operations chief  Full Article 

Health Of Lenders

Health Of Lenders

25 European banks set to fail health checks - sources.  Full Article 

India Insight

India Insight

Kalki Koechlin on her role as a disabled girl in “Margarita, With a Straw”  Full Article 

Reuters India Mobile

Reuters India Mobile

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