Mumbai: Gold demand in India, the world’s biggest buyer of the yellow metal, edged up as prices extended losses for a third straight session, spurring traders to stock up given the wedding season.
The most-active gold for April delivery on the Multi Commodity Exchange (MCX) was trading 0.03% lower at Rs 27,883 per 10 grams at 3:30pm, after losing nearly 1% in the previous two sessions.
“Deals are there today as well .... Activity is there in the market at $1,718-1,725 (an ounce),” said Pinakin Vyas, assistant vice-president with gold importing IndusInd Bank. “Advanced orders are there at $1,700 levels, but traders are also looking at the movement in the rupee”.
The rupee, which weakened on Monday, plays an important role in determining the landed cost of the dollar-quoted yellow metal.
Silver for March delivery was 0.18% lower at Rs 56,055 per kg.
The wedding season will go on until May, raising expectations of higher demand for gold. There are also a number festivals during this period.