MUMBAI: India gold demand stayed weak for a second day on Wednesday as prices hit a record high tracking overseas markets, where safe-haven buying supported the yellow metal, dealers said. ( Watch )
"There is no demand today as prices are at a high, even yesterday was equally bad," said a dealer with a state-run bullion dealing bank in Mumbai. The most-active June contract was trading 0.40 percent higher at 18,585 rupees per 10 grams at 2:00 p.m., after hitting a record high of 18,617 rupees earlier.
"Markets could get re-activated if prices fall to 17,000 rupees," said another private bank dealer. However a strong rupee, which made the dollar-quoted asset cheaper, aided sentiment, they added.
The Indian rupee edged higher, a day after sliding to an eight-month low, as shares rose more than 1 percent and gains in regional peers helped bolster sentiment.
