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Friday November 6, 03:00 PM
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India gold traders stat away on near-record prices
MUMBAI (Reuters) - India's gold traders kept to the sidelines on Friday as prices stayed near record highs in the middle of the wedding season, with a strong rupee seen aiding sentiment later in the session, dealers said.
"Market is very dull, there is no fresh buying happening as prices are still holding near all-time highs," said a dealer with a state-run bank in Mumbai.
The most-traded gold December contract was 0.04 percent lower at 16,589 rupees per 10 grams at 2:36 p.m., near its record high of 16,677 rupees, struck earlier in the week.
"A strong rupee may help later, but prices internationally will have to come down for that," said another dealer with a private bank.
The Indian rupee strengthened to its highest in more than a week on Friday as traders sold dollars on gains in the local sharemarket and watched the U.S. unit's moves versus majors for direction. A strong rupee makes the dollar-quoted asset cheaper.
Dealers said the underlying demand is still strong on wedding season, that is expected to last till December.
"We have plenty of orders in the range of $1,080-1,085 (an ounce)," said the dealer with the private bank.
(Reporting by Siddesh Mayenkar; Editing by Sunil Nair)
(For more news on Reuters Money visit http://www.reutersmoney.in)
