Gold steady; buyers still on sidelines

Gold steady; buyers still on sidelines

Mumbai: Gold futures were steady on Friday afternoon following overseas markets, but demand stayed weak due to the seasonally lean buying period, dealers said.

The most-active gold for August delivery on the Multi Commodity Exchange (MCX) was trading 0.21% higher at 22,636 per 10 grams at 1:04pm.

Overseas spot gold was steady, underpinned by debt crisis in the Euro zone, though a stronger dollar weighed.

The monsoon period is a seasonally slack one for gold demand and dealers expect traders to replenish stocks from September, when festivals and weddings re-start.

A strong rupee weighed on sentiment. The rupee plays an important role in determining the landed cost of the yellow metal, which is quoted in dollars.