E T : India gold offtake stays slack as prices rise
MUMBAI: India's physical gold offtake stayed slack on Thursday as prices hit a 6-month high, with traders unwilling to enter into fresh deals
anticipating falls ahead, dealers said.
"The bookings are much below normal today due to the price rise," said a dealer with a state-run bank in Mumbai.
The most-traded October contract was higher by 0.60 percent at 15,612 rupees per 10 grams at 2:38 p.m., after hitting a high of 15,664 rupees, its highest since early March.
"In fact traders are now fearing the $1000 (an ounce) level internationally. They have shifted their orders to $960 from the earlier $940," said another dealer from a state-run bank.
International spot gold held at its three-month high at 981.55/982.35 an ounce, as against 976.60/979.60 the previous day.
Traders expect demand to remain sluggish ahead of an inauspicious period to buy the yellow metal.
Shradh, a period of paying homage to ancestors, is from Sept. 5 to Sept. 19.
