Gold futures stayed steady near the highest level in more than a week on Tuesday, supported by a weakening of rupee in the aftermath of a political crisis and as importers were unwilling to book the yellow metal. * India, the world's biggest buyer of the metal, has been trying to curb imports of gold to put a lid on record high current account deficit. The federal government raised the import duty on gold, which it called a dead investment, by 50 percent to 6 percent in January. * "There were a few deals in the morning, but after the political crisis rupee is not in supporting mode and local costing is a bit higher," said a dealer with a private bullion importing bank in Mumbai. * At 1.56 p.m., the actively traded gold for April delivery on the Multi Commodity Exchange (MCX) was 0.26 percent higher at 29,625 rupees per 10 grams, after hitting a high of 29,644 rupees on Monday, a level last seen on March 7. * The Indian rupee reversed early trend to trade weaker after a key regional ally pulled out of the country's ruling coalition and after the central bank issued a statement that was seen as cautious on future rate cuts. * The rupee plays an important role in determining the landed cost of the dollar-quoted yellow metal. * In the overseas market, gold hovered near a 2-1/2-week high on Tuesday, as nervousness around an upcoming vote on a levy on bank deposits in Cyprus supported safe haven interest in gold, but investors were sceptical about such support being sustained. * Silver for May delivery on the MCX was 0.25 percent higher at 54,458 rupees per kilogram.

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