Indian gold price futures soar after falling to 2-month low in Mumbai

Written by Reuters | Mumbai | Updated: Dec 18 2013, 22:05pm hrs
Gold priceThe market is slow as there is no gold available: Wholesaler
Gold price futures in India rebounded on Wednesday from their two-month low hit in the previous session, though premiums remained high due to lack of stocks in the domestic market.

* At 0948 GMT, the most-active gold for February delivery on the Multi Commodity Exchange was 0.32 percent higher at 28,770 rupees per 10 gram. It had hit a low of 28,642 rupees on Tuesday, a level last seen on Oct. 15.

* Silver for March delivery was 0.82 percent higher at 45,800 rupees per kg.

* "The market is slow as there is no gold available. We are hearing MMTC may give some gold at $125 per tonne," said Suresh Jain, the proprietor of SJ Jain Jewellers, a wholesaler in Mumbai.

* Premiums hit a record of $150-$160 earlier this month.

* 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, said a top trade body official.

* The Indian government slapped a record import duty of 10 percent, and tied imports for domestic consumption with exports, but with easing trade gap, the central bank said it would be premature to withdraw curbs on imports.