Indian Gold Buying Drains On Lower Rupee

According to a report by the Economic Times, Indian gold buying remains weak despite the dips below $1,200.

"It's quiet today as there is no much change in prices... traders are unwilling to book new deals," said a dealer with a state-run bullion dealing bank....

"I have advance orders and all of them are below $1,190," said another dealer with a private bank.

Evidently, wholesale buyers are becoming cagey in advance of festival season next month. Some of them may have taken losses, and more had their profits dented, during the last festival season. The weakened rupee, of course, has had its influence on the buy points.