INSUBCONTINENT EXCLUSIVE:
Sovereign gold, however, held steady at Rs 24,600 per piece of eight gram.Gold tumbled by Rs 365 to Rs 30,435 per 10 gram today on the back
of subdued global cues amid slump in demand from local jewellers, reported news agency Press Trust of India
Silver followed suit and declined by Rs 50 to Rs 39,000 per kg owing to reduced offtake by industrial units and coin makers
Traders said sentiment took a hit owing to a weak global trend, as the dollar strengthened after the US Federal Reserve kept interest rates
Globally, gold prices rose on Thursday, recovering from the previous session's fall, supported by a weaker dollar versus the Japanese yen in
Asian trade, reported news agnecy Reuters
Spot gold was up 0.2 per cent at $1,218.23 an ounce after losing 0.65 per cent in the previous session
US gold futures were little changed at $1,226.70 an ounce.2
In Delhi, gold of 99.9 per cent and 99.5 per cent purity plunged by Rs 365 each to Rs 30,435 and Rs 30,285 per 10 gram, respectively
The precious metal had gained Rs 150 yesterday
Sovereign, however, held steady at Rs 24,600 per piece of eight gram.3
"Key focus would be non-farm payrolls which will hit the market tomorrow," said Jigar Trivedi, fundamental research analyst - commodities,
Gold demand in India is set to improve in the second half of 2018, after falling 6 per cent in the first half, as government steps to boost
farmers' incomes are expected to lift rural buying power, the World Gold Council (WGC) said on Thursday, reported Reuters.7
In the April-June quarter, Indian gold demand fell 8 per cent from a year ago to 187.2 tonnes, hit by a rally in local prices due to a
depreciating rupee, WGC said in the report.8
Despite the fall, the WGC maintained a 2018 demand estimate of between 700 and 800 tonnes versus 763.4 tonnes last year
India's demand has averaged 840 tonnes a year over the last decade.9
Higher demand from the world's second-biggest gold consumer could support global prices that are trading near their lowest in a year,
although a rise in imports of the precious metal would widen India's trade deficit.10
A hike in crop prices and farm loan waivers would improve rural demand in the second half of the year, Somasundaram PR, managing director of
WGC's Indian operations, told Reuters
Two-thirds of India's gold demand comes from rural areas, where jewellery is a traditional store of wealth.(With agency inputs)
