Gold buying subdued as banks shut for holiday

Gold buying subdued as banks shut for holiday

Mumbai: Gold buying slowed on Friday as banks, the primary dealers of bullion, were shut for a public holiday, and dealers said trading would remain thin as wedding season comes to an end.

Gold on the Multi Commodity Exchange (MCX) was trading 0.03% at 20,479 per 10 grams, falling from a high of 20,510. Prices are still down 2% from the all-time high of 20,924 struck on 7 December.

“Buying has slowed due to holiday today and it is expected to remain so as there are a few weddings left," said Haresh Acharya, head of bullion desk, Parker Agrochem Exports Ltd.

The weddings season in India is drawing to a close, cutting demand for gold. The season will pick up in the third week of January.

In July-September, India, the world’s largest buyer of the yellow metal, imported 214 tonnes of gold, up 21.6% on year, the World Gold Council said.