MC:India gold physical buyers stand back, outlook dull
MUMBAI (Reuters) - Physical buyers of gold in India, the world's biggest consumer of bullion, remained on the sidelines even though traders offered discounts of up to $5 per ounce to global prices, with the demand outlook likely to be dull, players said.
* "Everybody is selling, there is a discount of $4-$5 in the local market ... still there is a liquidity crisis, inflation is still high, savings are not there," said Prithviraj Kothari, president of the Bombay Bullion Association.
* HDFC Bank, a gold importer, was offering at 29,040 rupees per 10 grams, about 200 rupees higher than RiddhiSiddhi's, a local gold supplier. The rupee has been trading recently at record lows against the dollar.
* In the domestic futures market, gold and silver rose more than a percent, tracking gains on global markets, however.
* The most-active December delivery gold contract on the Multi Commodity Exchange (MCX) traded 1.05 percent higher at 28,707 rupees per 10 grams, after hitting a high of 28,735 rupees. December silver was 1.33 percent higher at 55,052 rupees per kg.
