Jewellers are restocking gold again
Kolkata: Jewellers have started restocking gold, which they had stopped due to uncertainty over duties in the run-up to the budget.
Dealers said gold prices are at comfortable levels as favourable changes in the exchange rate have softened the impact of rising international prices.
The gold trade was expecting the finance minister to cut import duty. “But that didn't happen. Jewellers are, therefore, expecting pentup demand among consumers,“ said Surendra Mehta, secretary of the India Bullion and Jewellers Association. He said wholesalers and retailers made healthy jewellery purchases at a recent exhibition in Mumbai, indicating that demand was likely to rise.
Last week, gold rallied by 2.3% to $1219 per troy ounce after Trump's immigration policies created lot of uncertainty in global markets but traders said the impact would be less in India because of changes in the exchange rate.
Gold was trading at $1235.48 per troy on the London spot exchange on Tuesday, and analysts said prices may rise. “US has imposed new sanctions on Iran over the missile test. This may further spur gold prices in the weeks to come,“ said Himanshu Gupta, chief strategist, Karvy Commodities.
The yellow metal opened at . 29,250 per 10 gm on Tuesday and ` was trading at Rs 29,245 per 10 gm at around 3 pm on the MCX, indicating a steady movement. Mehta said gold has crossed the $1235-mark and the next resistance level will be $1312 per troy ounce.
Dealers said gold prices are at comfortable levels as favourable changes in the exchange rate have softened the impact of rising international prices.
The gold trade was expecting the finance minister to cut import duty. “But that didn't happen. Jewellers are, therefore, expecting pentup demand among consumers,“ said Surendra Mehta, secretary of the India Bullion and Jewellers Association. He said wholesalers and retailers made healthy jewellery purchases at a recent exhibition in Mumbai, indicating that demand was likely to rise.
Last week, gold rallied by 2.3% to $1219 per troy ounce after Trump's immigration policies created lot of uncertainty in global markets but traders said the impact would be less in India because of changes in the exchange rate.
Gold was trading at $1235.48 per troy on the London spot exchange on Tuesday, and analysts said prices may rise. “US has imposed new sanctions on Iran over the missile test. This may further spur gold prices in the weeks to come,“ said Himanshu Gupta, chief strategist, Karvy Commodities.
The yellow metal opened at . 29,250 per 10 gm on Tuesday and ` was trading at Rs 29,245 per 10 gm at around 3 pm on the MCX, indicating a steady movement. Mehta said gold has crossed the $1235-mark and the next resistance level will be $1312 per troy ounce.
