Mumbai: Gold was steady on Thursday afternoon as support from overseas markets was offset by a stronger rupee, and physical buyers postponed their buying till the US jobs data on Friday which could decide price direction.
The most-active gold for April delivery on the Multi Commodity Exchange was trading 0.02% higher at Rs 20,720 per 10 grams at 1:52pm.
“A few bookings are there, but still, traders want clarity on prices. They are waiting for Friday’s jobs report,” said a dealer with a state-run, bullion-importing bank.
Overseas gold rose for a second day, set for its tenth consecutive quarterly gain, underpinned by caution ahead of key US monthly jobs data and by investor nerves over the euro zone’s finances.
The rupee was stronger for the third consecutive day, supported by positive local shares and dollar inflows, but traders said demand for the greenback from oil importers is likely to even out any major gains.
The high demand period, when a lot of weddings are scheduled, is currently underway in India, which imported a record of a little over 900 tonnes during last year.