Do More With Reuters
Partner Services

UPDATE 1-India gold firm, buyers eye 12,000 rupees/10 grams

Mon Aug 4, 2008 3:50pm IST
 
Email | Print | | Single Page
[-] Text [+]

(Updates to trends in the physical market)

* Spot gold lower at $906.30 an ounce XAU=

* London Brent crude up at $124.66 a barrel LCOc1

* Rupee weaker at 42.44 per dollar INR=IN * U.S. personal income and spending data at 6 p.m. <MI/DIARY>

MUMBAI, Aug 4 (Reuters) - India's gold's prices were little changed on Monday amid higher crude oil, but buyers stayed on the sidelines as last week's correction had raised hopes of more falls ahead, dealers said.

"Now buyers will be interested only if prices fall closer to 12,000 rupees per 10 grams," said Prithviraj Kothari, director of Riddisiddhi Bullions Ltd, a large Mumbai-based wholesaler.

Foreign gold, that guides the local market, stayed near the previous session's levels supported by oil that jumped on supply worries after a tropical storm threatened the Gulf of Mexico and Iran's nuclear programme worried the Western world.

Gold generally tracks crude oil as the latter signals inflation while the metal negates it.

In the local market, prices hovered around 12,500 rupees per 10 grams -- a level buyers had been eyeing -- but the month-low dip last week to lower levels had been bought well and met near- term demands.  Continued...

Russian Finance Minister Alexey Kudrin poses with his G20 colleagues and central bank leaders during the family photo at the G20 Finance Ministers meeting at a hotel in St. Andrews, Scotland. REUTERS/POOL New
Pledge to support economies

G20 financial leaders pledged to prepare strategies to end emergency support for their economies, but to keep the aid flowing until recovery was assured.  Full Article | Related Story 

special coverage

Photo
Central Banks Cautious

Reuters tracks the policies of the world's top central banks as the debate over global economic recovery rages on.  Full Coverage 

Market Update

  • IndiaIndia
  • USUS
  • UKUK
  • Asia
  • Most Actives

SHOWCASE

Sanjay Sinha
Balancing Act

In India, it is a tough choice between growth, managing inflation and financial stability.  Full Article 

 
Nipun Mehta
Road to Recovery

There needs to be an acceptable balance created between education and healthcare and infrastructure spend, says Nipun Mehta of SG Private Banking.   Full Article 

 
Robot Asimo

Snapshots of Honda Motor's humanoid robot Asimo  Slideshow 

 
Marketing Strategy
Marketing Strategy

Companies are now using direct marketing methods to sell their products.  Full Article 

 
Exit Plans
Exit Plans

Factbox - Stimulus exit plans for Asia-Pacific's big 5 economies  Full Article