Mumbai: Indian gold demand was dull on 17 July with firm prices in the lean season hardly testing buyers’ patience for lower levels, dealers said.
“Nil,” was all that a dealer in a large private bank said when asked about the demand.
However, the dealer added, there were advance orders at far lower levels than the current price -- at $659 an ounce.
A large trader in Bangalore said demand may remain weak in the southern India hub for at least another month.
“The ashada maas has just started... this is not an auspicious month for starting anything,” said D.P. Naresh, partner at Micro International, a large precious metals wholesaler in Bangalore. Naresh said the little business on 17 July had seen low volumes.
Overseas gold was rangebound ahead of US inflation data and the Federal Reserve Chairman Ben Bernanke’s statement on 17 July.
A stronger rupee helped ease gold prices, but they still held above Rs8,500, which was a deterrent for buyers, dealers said.