Gold price today climbed to Rs 51,610 from Rs 51,600 per 10 gm, while silver price was trending at Rs 67,600 per kg, according to the MCX Money website.
Gold jewellery price varies across India, the second-largest consumer of the metal, due to excise duty, state taxes, and making changes.
In New Delhi, the gold price of 22-carat is at Rs 48,790 per 10 gm, while in Chennai it fell to Rs 47,310. In Mumbai, the rate was Rs 48,730 according to the Good Returns website. The price of 24-carat gold in Chennai was Rs 51,610 per 10 gm.
Physical gold discounts rose in India in the previous week as buyers remained on the sidelines, while demand in Singapore and other Asian hubs ticked up as buyers took advantage of lower prices ahead of holidays.
Indian consumers avoided gold purchases due to Khar Mass, a period considered to be inauspicious that runs from Dec. 15 to Jan. 14.
“People are more focused on holidays than making big ticket purchases,” said Mukesh Kothari, director at Mumbai gold dealer RiddiSiddhi Bullions, adding demand would remain subdued next week.
Dealers were offering a discount of $2 an ounce this week over official domestic prices, inclusive of 12.5% import and 3% sales levies, up from last week’s $1. Spot gold prices were set to mark their first weekly decline in four.[GOL/]
In China, discounts narrowed to $15-$20 an ounce, versus last week’s $16-$20, while in Hong Kong, premiums of $0.50-$1.50 were being charged from last week’s $0.50.
Physical gold has traded at a discount since March in China, the world’s biggest bullion consumer, as the coronavirus pandemic deterred buying. Dealers said lower prices going into festivities and pent-up demand might boost consumption.