New Delhi, June 6 (): Gold increased by Rs 430 to touch Rs 28, 090 per 10 grams, a five-week high in the capital on increased buying by stockists, fearing government decision to further hike of import duty on the yellow metal.
The trader sentiment strengthened as the government decided to increase import duty from 6-8% on gold to curb a record CAD (current-account deficit) with Gold Council anticipating heavy demand for the metal in India.
International factors spurred investors to shift from share markets in US to bullion since data showed that private companies hired less and that federal reserve will continue to buy bonds. The price rise in New York was USD 1,402.70 an ounce – a 0.19% increase.
Trading in gold has shot up mainly in 99.9 and 99.5 per cent purity. The prices are Rs 28,090 and Rs 27,890 per 10 grams respectively. On 8 gms sovereign, the price was Rs 24,200 with an increase of Rs 100.
Price of silver coins shot up due to demand from coin makers and industries. The price for 100 pieces was Rs 79,000 for purchase and it was sold at Rs 80,000. Silver however dropped to Rs 44,500, with Rs 60 losing in today’s trade. Rs 43,790 was quoted for silver weekly delivery.
NBFC and Banks have been asked to stop marketing gold coins. The import tariff value had been increased a few days ago.