Price rise cools activity in Asian hubs; India discounts widen to 7-week high
Demand for physical gold in major Asian hubs weakened this week as rates soared, with prices in India zooming past the psychologically important 100,000-rupee mark and prompting dealers to offer steep discounts to attract buyers.
Indian dealers quoted discounts of up to USD 63 an ounce over official domestic prices - the highest in seven weeks, inclusive of 6 per cent import and 3 per cent sales levies, up from as much as USD 56 last week.
"Demand is as good as dead. Buyers think the price rise is temporary and are waiting for a correction," said Ashok Jain, proprietor of Mumbai-based gold wholesaler Chenaji Narsinghji.
Domestic prices were hovering around 100,000 rupees per 10 grams on the day after hitting an all-time high of 100,403 rupees earlier in the session.
"Suddenly, the rupee is falling and gold prices are rising because of geopolitical tensions. This has confused jewellers, who are on the sidelines," said a Mumbai-based bullion dealer with a private bank.
In top gold consumer China, premiums of USD 8-USD 14 an ounce were charged over the global benchmark spot price, compared with premiums of USD 10-USD 14 an ounce last week.
"Demand for gold has been tempered in both Hong Kong and China over the last number of weeks. We are going into a seasonally quiet period and that has been reflected in the physical premiums," said Joseph Stefans, Head of Trading at MKS PAMP.
In Hong Kong, gold changed hands at par to a USD 1.70 premium, while in Singapore , gold traded between at-par prices and a USD 2.50 premium.
"We are seeing some selling as compared to last week from the retail side because of the rise in prices. On the wholesale side also it is quiet," said Brian Lan, managing director at Singapore-based GoldSilver Central.
In Japan, bullion was sold at par to a premium of USD 0.50 over spot prices.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
20 minutes ago
- Time of India
Kerala fisheries crisis: Seafood exporters seek govt support
Kochi: Seafood Exporters Association of India (SEAI), Kerala region, sought immediate govt assistance to address a severe crisis affecting the livelihoods of 1.4 million people in the state, following environmental difficulties and export-related challenges. SEAI Kerala president, Premachandra Bhat, said Kerala has declined from its position as the leading seafood exporter to fifth place, primarily due to environmental impacts. The state's 590km coastline and nine coastal districts have seen fishing days reduced from 300 to 100 annually. This reduction is attributed to poor weather, fishing restrictions and the current 52-day trawling ban until July 31. The situation worsens as foreign factory vessels from China and Taiwan continue illegal fishing during restricted periods, diminishing local marine resources. "We urgently need stronger coastal surveillance and regulatory enforcement. While our fishermen face strict restrictions, foreign vessels continue to plunder our seas unchecked," Bhat said. He emphasised the critical need for increased domestic production. "Shrimp is the crown jewel of our exports. But without adequate raw material, even the most advanced processing facility becomes nothing more than a silent warehouse," he warned, advocating for govt support in commercial aquaculture and sustainable shrimp farming. Bhat identified the implementation of Turtle Excluder Devices (TEDs) in trawl nets as a crucial priority, essential for marine conservation and maintaining access to environmentally conscious markets like the United States. "We have the technology. We have the necessary approvals. What we now need is administrative will—an urgent push to implement TEDs without further delay," he said. Global challenges, including transport disruptions, the Russia-Ukraine war, Middle East tensions and shipping route instability, are pressuring Indian seafood exporters to maintain competitiveness against China, Vietnam, Indonesia and Ecuador. Kerala's industry continues to advance through initiatives like the Plastic-Free Seas Project, where fishermen collect marine plastic waste for proper disposal. "This is a model for the nation. It proves that sustainable practices and profitability can go hand in hand," Bhat added. Women constitute 80% of Kerala's fish processing workforce, operating in over 850 peeling sheds and 100 processing units. Highlighting the sector's significance as a women-oriented industry in Kerala, SEAI said there is a need for year-round employment. The association requested improved access to working capital loans for raw material procurement during peak seasons and continuous processing in lean periods. "When you support this industry, you are not just protecting exports—you are empowering thousands of women and securing countless family incomes," he said, adding that the govt should utilise Kerala's NRI-supported banking system to provide targeted assistance for fish processing facilities.
Time of India
21 minutes ago
- Time of India
Less than 100 days to go, Kumartuli readies Durga idols for foreign shores
1 2 Kolkata: The festive fervour of Durga Puja may still be a little over three months away, but the idol makers' enclave in Kumartuli is already abuzz with activity. The artisans are racing against time, giving finishing touches to several idols — not for local pujas, but to meet the international demand. Several batches of idols have already been shipped to United States (US), the United Kingdom (UK), Canada, and Australia, among other countries where the Bengali diaspora organises Durga Puja celebrations. According to the Kumartuli Mritshilpi Sanskritik Samity, more than 200 idols have already been sent abroad this season, and dozens more are at various stages of completion. The first idol was dispatched as early as Jan this year, to Sydney. "This year, I have already dispatched five large idols to various cities in the US and the UK," said Bikash Pal, an idol maker. "It takes time to pack the idols securely and get the necessary customs clearances. The shipping itself can take weeks, so we begin much earlier," he added. Some idols are sent by air, too. Mintu Pal, another artisan, has dispatched several idols to Canada, Germany, France, Poland, and Italy. "The price starts from Rs 1 lakh . by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Florida New Policy For Senior Drivers The Quote General Learn More Undo This is excluding the expenses for packaging and travel," said Pal, who was busy giving finishing touches to an idol. Potters admit that the number of orders has increased over the past decade. "Earlier, we would only get a handful of overseas orders. Now, the international orders come months in advance," said Koushik Ghosh, who dispatched an idol to Sydney in Jan. The increasing number of orders has not only changed the production timeline but also the economic dynamics of Kumartuli. Artisans say that overseas clients are often willing to pay more as the idols have to be customised. The increased income has led to more stable employment for workers and assistants, who previously relied only on seasonal work. However, the international orders also come with specific challenges. "We have to follow strict guidelines for height, weight, and materials due to shipping constraints," explained Bikash Pal, adding that some idols need to be assembled on-site. Preparations for local pandals have also begun. Full-scale activity for Kolkata-based pujas is expected to pick up by first week of July.
New Indian Express
24 minutes ago
- New Indian Express
Odisha Vision 2036-2047 focuses on economic hubs, industrial push, infrastructure, women-led growth
BHUBANESWAR: Odisha on Thursday laid out a bold and time-bound strategy to become a developed state by 2036 and a USD 1.5 trillion economy by 2047. Released by Prime Minister Narendra Modi, the Vision-2036 blueprint, part of the broader 'Viksit Odisha for Viksit Bharat' agenda, sets ambitious targets to rapidly urbanise, double employment, and attract massive investments to the state. The vision focuses on six foundational pillars: people first, rural empowerment, people-centric governance, prosperity for all, our legacy our pride, and technology leading the way. These encompass priority areas such as women-led development, quality education, universal healthcare, green energy, smart agriculture, and cultural revitalisation. The state has set a target for the creation of over one crore new jobs, backed by massive investments in manufacturing, green energy, agriculture, skilling, and tourism. A core part of this plan is the creation of world-class economic agglomerations. It envisages a Bhubaneswar-Cuttack-Puri-Paradip Economic Region (BCPPER), which will be developed into a USD 500 billion hub, contributing to one-third of the state's GSDP by 2047.
