Mumbai: India gold prices were flat on Wednesday on weak demand in the middle of a sesonally lean period, dealers said.
“Yesterday, there were enquiries, but there is nothing today,” said Pinakin Vyas, chief manager-treasury with IndusInd Bank in Mumbai. “As we are into a lean season, traders are not just willing to buy.”
The most-active August contract was up 0.01% at Rs14,658 per 10 grams at 1:43pm, as presssure from a strong rupee was offset by strong crude oil prices.
Fewer weddings take place during monsoons, making it a lean season for India’s gold market. But a series of festivals and auspicious days for weddings is expected to boost gold demand from August-end till the end of the year.
There could be intermittent buying if there is a drastic decline in prices, dealers said.
“There could be buying if prices decline below $900 an ounce level,” said another dealer with a state-run bank.