Gold Rush Update 2.
Buy Gold with a long term outlook, especially at the current price.
See below for recent articles.
Gold imports by India, the world's largest consumer of the metal, are unlikely to top 1,000 tonnes this year but are on course to hit a record above 800 tonnes, trade officials said.
Rising incomes from a booming Indian economy and a stronger rupee have helped demand for gold, traditionally used in jewellery but now also favoured as an investment.
But a spurt in prices has made buyers wary, while other investment opportunities such as a bullish stock market lure money away.
Imports by the end of the year may be "closer to 800-850 tonnes", Rajan Venkatesh, director - India bullion at Bank of Nova Scotia, said.
The first half of the year has been very good, but sales are not as buoyant now.Imports in 2006 were 715 tonnes.While purchases between January and August this year were 664 tonnes, up 87 percent from a year earlier, it said.
A firmer Indian rupee, which has climbed about 12 percent against the dollar since end-2006, helped soften gold for domestic consumers, prompting a bullish outlook for imports.
This year, demand was buoyant when prices came off 9,000 rupees per 10 grams in May and stayed below that mark until early September.
Prices have since climbed, with overseas gold markets hitting 28-year highs this week. Gold futures were trading at 9,294 rupees on Thursday.
Madhusudan Daga, a former consultant of UK-based research firm GFMS, said artificial jewellery and the diversion of dowry to buy consumer durables, such as refrigerators and televisions, also dented gold demand.
Still, the lure of gold as an investment is picking up with demand for coins, exchange-traded funds and gold futures on the rise.
In 2006, demand for gold as investment rose 38 percent to 186 tonnes, while jewellery showed a decline of 14 percent, WGC data showed.
Source: Reuters
Gold prices surged on the bullion market on Friday on emergence of buying by stockists, who indulged in enlarging their positions to meet coming festival demand and recorded a gain of Rs 100 at Rs 9550 per ten gram.
Source : Times of India
See below for recent articles.
Gold imports by India, the world's largest consumer of the metal, are unlikely to top 1,000 tonnes this year but are on course to hit a record above 800 tonnes, trade officials said.
Rising incomes from a booming Indian economy and a stronger rupee have helped demand for gold, traditionally used in jewellery but now also favoured as an investment.
But a spurt in prices has made buyers wary, while other investment opportunities such as a bullish stock market lure money away.
Imports by the end of the year may be "closer to 800-850 tonnes", Rajan Venkatesh, director - India bullion at Bank of Nova Scotia, said.
The first half of the year has been very good, but sales are not as buoyant now.Imports in 2006 were 715 tonnes.While purchases between January and August this year were 664 tonnes, up 87 percent from a year earlier, it said.
A firmer Indian rupee, which has climbed about 12 percent against the dollar since end-2006, helped soften gold for domestic consumers, prompting a bullish outlook for imports.
This year, demand was buoyant when prices came off 9,000 rupees per 10 grams in May and stayed below that mark until early September.
Prices have since climbed, with overseas gold markets hitting 28-year highs this week. Gold futures were trading at 9,294 rupees on Thursday.
Madhusudan Daga, a former consultant of UK-based research firm GFMS, said artificial jewellery and the diversion of dowry to buy consumer durables, such as refrigerators and televisions, also dented gold demand.
Still, the lure of gold as an investment is picking up with demand for coins, exchange-traded funds and gold futures on the rise.
In 2006, demand for gold as investment rose 38 percent to 186 tonnes, while jewellery showed a decline of 14 percent, WGC data showed.
Source: Reuters
Gold prices surged on the bullion market on Friday on emergence of buying by stockists, who indulged in enlarging their positions to meet coming festival demand and recorded a gain of Rs 100 at Rs 9550 per ten gram.
Source : Times of India
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