MUMBAI: Gold demand abated on Friday as prices struck a fresh high, after a slight pick-up seen in offtake in the previous session, dealers said.
"I did 40-55 kgs yesterday when prices were at around $1,135-1,140 (an ounce), but today there is nothing on domestic front," said a dealer with a state-run bank in Mumbai.
The most-traded December gold contract hit a fresh record high at 17,284 rupees per 10 grams, before trading 0.12 percent higher at 17,251 rupees at 2:15 p.m. tracking overseas leads. See
Dealers said traders were stationed on the sidelines seeking lower prices to stock for the ongoing wedding season.
"I have a few orders below $1,125 (an ounce)," said another dealer with a state-run bank in Mumbai.
Dealers said their business has declined by about 50 percent on year as high prices dented demand.
Jewellery demand in India, the world's largest consumer, fell 42 percent to 111.6 tonnes in the third quarter to September, while total demand, which comprises jewellery and retail investment demand, fell 49 percent to 137.6 tonnes.
