Indian gold futures extend losses
Indian gold futures extended losses on Friday to hit their lowest level in nearly two weeks weighed by weak overseas leads, though physical traders awaited resumption of shipments. A weak rupee, however, limited the fall. The rupee plays an important role in determining the landed cost of the dollar-quoted yellow metal.
Copyright Reuters, 2013
In the overseas market, gold held near a 2-week low and was headed for its second week of losses on growing expectations the US Federal Reserve would soon wind down its commodities-friendly bond-buying programme. India's central bank, in a bid to help the government stem the tide of gold imports which had pushed the current account deficit to a record high, told importers on July 22 that a fifth of their purchases would have to be turned around for export. Most of the jewellers are sustaining on stocks that were shipped from April to May, which totalled more than 300 tonnes.