MTECHTIPS;-Gold demand to be subdued, Q4 to see pick up’For the third quarter of this calendar year spanning July, August and September, Kedia Commodities is not expecting demand to pick up in gold in India owing to ‘Adhik Maas’(meaning additional month), a traditional Hindu calendar time period when purchase of gold is expected to be low on grounds of cultural belief.“Demand should emerge during the Q4, which corresponds to wedding season and the Diwali festival in November. But demand recovery is dependent on rupee appreciation and year to date rupee has depreciated by almost 17.62%; from 45.74 to 55.52 . High prices related todepreciation of the currency would induce profit booking and a plunge in prices.” the report noted.Gold in India has once again tested the fresh high of 30440.00/10gms on MCX and 30600.00/10gms in Mumbai spot market on WednesdayMacro economic uncertainties has prompted governments around the world to pump in reserves of gold. As of August, the Reserve Bank of India has 558 tonnes of gold in its reserves, which accounts for 10 per cent of its total reserves.India is ranked eleventh among the top 100 gold-holding countries. WWW.MTECHTIPS.COM 07489294118
MTECHTIPS;-Gold demand to be subdued, Q4 to see pick up’For the third quarter of this calendar year spanning July, August and September, Kedia Commodities is not expecting demand to pick up in gold in India owing to ‘Adhik Maas’(meaning additional month), a traditional Hindu calendar time period when purchase of gold is expected to be low on grounds of cultural belief.“Demand should emerge during the Q4, which corresponds to wedding season and the Diwali festival in November. But demand recovery is dependent on rupee appreciation and year to date rupee has depreciated by almost 17.62%; from 45.74 to 55.52 . High prices related todepreciation of the currency would induce profit booking and a plunge in prices.” the report noted.Gold in India has once again tested the fresh high of 30440.00/10gms on MCX and 30600.00/10gms in Mumbai spot market on WednesdayMacro economic uncertainties has prompted governments around the world to pump in reserves of gold. As of August, the Reserve Bank of India has 558 tonnes of gold in its reserves, which accounts for 10 per cent of its total reserves.India is ranked eleventh among the top 100 gold-holding countries.
WWW.MTECHTIPS.COM 07489294118
