MUMBAI, Aug 9 (Reuters) - Indian gold futures extended gains
for another session on Thursday, recovering from their lowest
level in more than two weeks, while physical traders stayed
away, unwilling to get stuck with high-priced stocks during the
festival season.
* The most-traded gold for October delivery on the
Multi Commodity Exchange (MCX) was 0.11 percent higher at 29,928
rupees per 10 grams at 0929 GMT, after gaining 0.43 percent in
the previous session.
* The contract struck a low of 29,756 rupees on Tuesday, a
level last seen on July 24.
* Global gold inched up after China's economic data added to
hopes for more monetary easing there, though most investors
remained on the sidelines, looking for clear signals on possible
economic stimulus in Europe and the United States.
* Firmness in the rupee kept the upside in prices limited.
The rupee plays an important role in determining the landed cost
of the dollar-quoted yellow metal.
* The festival season starts in August in India, the world's
biggest gold buyer in 2011, and continues till November.
* "Gold is in the same range and the (physical) activity is
very dull," said a dealer with a private bullion importing bank.
* Physical demand has already halved in India, the world's
biggest consumer in 2011, due to doubling of import duty to 4
percent. Deficient rains are likely to hurt demand from rural
areas which consume about 60 percent of the country's gold
imports.
* Silver traded a tad higher following the yellow metal.
* Silver for September delivery on the MCX was 0.25
percent higher at 53,541 rupees per kg.
* Following were the prices in rupees at 1:15 p.m., quoted
by Punjab National Bank in the spot market :
Thursday Wednesday
=============================================
Gold .999/10 grams 29,954 29,827
Silver .999/kg 53,027 52,557
At 2:25 p.m., following were the prices in rupees on the
Multi Commodity Exchange of India Ltd <0#MAU:>:
Contract Current price Net change
=============================================
Oct gold 29,926 +30
Sept silver 53,550 +141
