Indian Consumers Hold Off on Purchasing Gold

Reuters reported that an expected cut in import duty and a likely drop in local prices has consumers in India holding back on gold purchases, but dealers are hopeful the upcoming wedding season will help them secure purchases.

As quoted in the market news:

Dealers hope to step up purchases, if the import duty is lowered from a record 10 percent in Saturday’s federal budget, to meet demand from the upcoming wedding season and Akshay Tritiya, a major festival associated with gold-buying in April.

Gold prices in India were either on par with or at a discount of $1 an ounce to the international market this week due to slow demand and adequate supplies, traders said.

Click here to read the full Reuters report.