On the rise again: Gold rates at a discount to tackle price jump

Local gold prices hit Rs 52,093 per 10 grams, the highest since August 16, and to lure buyers, dealers offered discounts up to $6 an ounce over official prices

Physical gold prices flipped to a discount in India this week as elevated local rates amid a dive in the rupee dampened festival demand, with higher prices playing spoilsport across other Asian hubs as well.

Indians celebrated the festival of Dussehra on October 5.

(However), “demand is very less. Prices are rising in global market and the Indian rupee is also falling,” said Chanda Venkatesh, managing director of Hyderabad-based bullion merchant CapsGold.

India fulfils most of its gold demand through imports, which are becoming expensive with the rupee at record lows.
 

Local gold prices hit Rs 52,093 per 10