Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  Commodities  >  Gold       XAUUSD

GOLD

SummaryQuotesChartsNews 
SummaryMost relevantAll NewsMarketScreener Strategies

India gold premiums rise as jewellers boost festive stocks

10/23/2020 | 01:24pm EST
A salesman shows gold necklaces to a customer at a jewellery showroom, after authorities eased lockdown restrictions that were imposed to slow the spread of the coronavirus disease, in Kolkata

BENGALURU/MUMBAI (Reuters) - Gold premiums in India jumped to their highest in nearly three months this week, as jewellers continued to stock up on hopes of more customers visiting stores as the festive season gathers pace.

Indians celebrate Dussehra on Sunday and Diwali and Dhanteras in November, when buying gold is considered auspicious.

"Investment demand was good in the last few days. Retail demand for jewellery is still weak, but it could improve during the festive season," said Ashok Jain, proprietor of Mumbai-based gold wholesaler Chenaji Narsinghji.

On Friday, local gold futures traded at around 50,920 rupees per 10 grams. Prices hit an all-time high of 56,191 rupees in August.

Dealers charged premiums of $5 an ounce this week over official domestic prices, inclusive of 12.5% import and 3% sales taxes, versus the $1 premiums last week.

Jewellers have been banking on festive-season buying for a revival in demand and are offering lower prices, said a Mumbai-based dealer with a bullion importing bank.

In top consumer China, discounts narrowed to $30-$33.5 an ounce over global benchmark spot prices, versus $30-$35 discounts last week.

"Spending sentiment has remained soft," said Samson Li, Hong Kong-based precious metals analyst at Refinitiv GFMS.

However inventory "levels on the streets" have reduced as some companies, including wholesalers, buy up old precious metals, possibly to export at a later stage.

In Hong Kong, gold was sold between a $0.50 discount to a $1.50 premium.

In Singapore, premiums were unchanged at $0.80-$1.20 an ounce.

"We've seen a bit more of selling when prices were higher, but buying was quiet... Retail clients are selling," said Brian Lan, managing director at dealer GoldSilver Central.

Japanese gold was sold from flat to a $0.50 an ounce premium.

Meanwhile, the Bangladesh Jewellers Association raised prices of all types of gold by up to 2,333 taka ($27.57) per bhori or 11.664 grams.

($1 = 84.6300 taka)

(Reporting by Brijesh Patel and Nakul Iyer in Bengaluru, Rajendra Jadhav in Mumbai and Ruma Paul in Dhaka; Editing by Arpan Varghese and Rashmi Aich)

By Rajendra Jadhav and Brijesh Patel


© Reuters 2020
All news about GOLD
04:35pMaterials Up Amid Dollar Weakness -- Materials Roundup
DJ
03:55pGold mining emissions draw scrutiny after price surge
RE
11:44aGold falls to 4-month low as stocks jump on strong U.S. data
RE
10:48aTurkey Raises Gold Holdings in October - IMF
RE
10:04aEXCLUSIVE : JPMorgan dominates gold market with record $1 billion precious metal..
RE
09:56aCanada's Iamgold to cut jobs at Westwood gold mine
RE
09:51aSpot gold falls 1% to $1,851.51/oz after ihs markit data
RE
08:17aGreece launches sale process for nickel producer Larco
RE
08:00aAUSTRALIA'S COMMODITY INVESTMENT SUR : Russell
RE
02:31aChina Shanghai Gold Futures Closing Prices, Volume
DJ
More news
Chart GOLD
Duration : Period :
Gold Technical Analysis Chart | XAUUSD | MarketScreener
Technical analysis trends GOLD
Short TermMid-TermLong Term
TrendsBearishNeutralBullish