Mumbai: Physical gold traders in India, the world’s biggest buyer, kept to the sidelines on Thursday seeking bigger falls in prices to book deals, even as the yellow metal fell more than half a percent.
At 03:00 am, the most-active gold for August delivery on the Multi Commodity Exchange (MCX) was 0.66% lower at Rs30,089 per 10 grams.
Global gold slipped for a third straight day after the US Federal Reserve stopped short of launching another round of quantitative easing to stimulate the economy.
The rupee, which fell to a record low, kept the downside in prices limited.
The onset of the rains curtails festive and wedding activity. Indian farmers, who depend on the monsoon for a good harvest, contribute to more than half the country’s gold demand.
“There is no buying, we are sitting idle... the auspicious time for buying starts after 3 p.m.,” said Kumar Jain, vice-president of Mumbai Jewellers Association.
Gurupushyamrit, considered an auspicious day for new ventures, falls on Thursday.