Gold prices fell for a fifth straight day on Tuesday on a strong rupee, spurring local demand in the middle of the wedding season that
lasts till June end, dealers said.
"Demand has increased many folds compared to last week as prices have fallen," said a dealer with a state-run bank in Mumbai. "Jewellers are stocking for wedding demand," he added.
The most traded June contract was 0.30 per cent lower at 14,164 rupees per 10 grams at 1:35 p.m., after having lost more than 4.5 percent in the last four sessions.
A strong rupee makes the dollar-quoted asset cheaper. Rupee traded strong, but was off early highs after the stock market seesawed as investors locked in profits.
A further fall in prices could trigger additional demand, dealers added. "A fall to about $900 (an ounce) could result in more demand," said another dealer with a private bank in Mumbai.
Following were the prices being quoted by HDFC Bank in rupees in the spot market at 1:15 p.m.
