Indian gold futures edge higher

Written by Reuters | Mumbai | Updated: Dec 14 2013, 01:37am hrs
GoldIndian gold imports may fall 70 percent in the final quarter of 2013 from 255 tonnes (Reuters)
Indian gold futures edged higher on Friday evening, helped by a weaker Indian rupee amid flat overseas markets.

* At 1228 GMT, the most-active gold contract for February delivery on the Multi Commodity Exchange (MCX) was 0.20 percent higher at 28,857 Indian rupees per 10 grams.

* Silver for March delivery on the MCX was 0.48 percent higher at 44,680 rupees per kg.

* The Indian rupee, which weakened in trade on Friday, plays an important role in determining the landed cost of the dollar-quoted yellow metal.

* In the physical market, demand was lacklustre, even as jewellers struggled to get supplies in the peak wedding season.

* "Import is going on, but in limited quantities... we imported a lot of 1.2 tonnes of gold this month," said a official with a state-run bullion importing trading firm in New Delhi.

* Indian gold imports may fall 70 percent in the final quarter of 2013 from 255 tonnes in the year-ago period and are expected to be half the usual levels at 500-550 tonnes next year if new import rules are maintained, a top trade body official.

* To curb a rising trade gap, the Indian government slapped a record import duty of 10 percent, and tied imports for domestic consumption with exports.

* Following were the prices of gold and silver in rupees as of 1615 local time in the spot market, quoted by HDFC Bank

Gold .999/10 grams 27,300 27,516

Silver .999/kg 44,600 45,219