Oct 09, 2012, 04.34 PM | Source: Reuters
Gold importers from India, the world's biggest buyer of the yellow metal, booked deals in small quantities to stock up for upcoming festivals as prices steadied near their highest level in a week.
At 3:05 p.m., the most-active gold for December delivery on the Multi Commodity Exchange (MCX) was 0.04 percent higher at 31,340 rupees per 10 grams, after hitting a high of 31,399 rupees, a level last seen October 3.
"There are some volumes in gold as festivals and marriage season... sales are 50 percent below expectations," said Haresh Acharya, head of bullion desk at Parker Bullion, a wholesaler in Ahmedabad.
The festival and wedding season in India will start picking up in late October and peak next month during Diwali and Dhanteras, traditionally occasions for buying gold.
COMEX gold edged 0.15 percent lower to $1,772.9 per ounce. The rupee, which weakened during the day, plays an important role in determining the landed cost of the dollar-quoted metal.
Silver also traded on a flat note near its lowest level in more than a month, tracking the yellow metal.
Silver for December on the MCX was flat at 61,500 rupees per kg.
Govt hikes import tariff value on gold & silver
The import tariff value is the base price at which
Sell gold, silver, crude & copper: Aurobinda P Gayan
Watch the interview of Aurobinda Prasad Gayan, Vic
Gold futures fall 0.51% on profit-booking
At the Multi Commodity Exchange, gold for delivery
India gold discounts hit record highs as demand falters
The bullion industry expects the government to cut
Gold near seven-and-a-half months high on safe-haven demand
Spot gold ticked up 0.2 percent to USD 1,190.81 an
Gold gallops on frantic demand; silver reclaims Rs 37k mark
Standard gold (99.5 purity) rose by Rs 220 to fini